Small Business Loan Programs

Small Business Loan Programs

The Small Business Administration is a government agency that is tasked with assisting small businesses across the United States. As part of this mandate, the agency offers a variety of small business loans that can be used for a variety of purposes:

The MicroLoan Program

This loan program is geared towards small businesses who need to cover short term financial needs and certain small businesses who’s main goal is to provide child care services.

Small businesses use the MicroLoan program for a variety of reasons, including:

  • Inventory
  • Supplies
  • Furniture
  • Real Estate
  • Equipment

These types of loans must be repaid within 6 years.

Disaster Loans

Disaster loans are provided to small businesses who are in need of emergency funds and have been affected by a natural disaster.

Some of the more common uses for a disaster loan include:

  • Repair of real estate
  • Equipment replacement
  • Inventory replacement

Equipment and Real Estate Loans

This type of loan is granted to small business owners who need to purchase fixed assets, like real estate or equipment.

Equipment and real estate loans come with a variety of qualifying and repayment requirements, depending on the needs and credit profile of the business.

General Small Business Loans

Also known as the 7(a) Loan Program, general small business loans are very common among small businesses.

General loans can be used for a variety of reasons, including funding the initial startup costs of a business, expanding to new locations, hiring employees, acquiring other businesses and more. There is no minimum loan amount requirement and the maximum loanable amount is $5 million. Qualifying for the loan will depend on a variety of credit, business and asset factors.