There are several options for small business loans from the government. There are microloans and SBA 7(a) loans, as well as SBA contracts. The best loan option for your business depends on your needs. The SBA also consults with the Department of Treasury to determine how much you can borrow.
SBA 7(a) loan
SBA 7(a) loans are available to small businesses looking for funding to meet a variety of expenses. They can be used for revolving funds, equipment financing, construction financing, or renovations of existing buildings. The SBA sets a cap on the interest rates that can be charged under this program.
The SBA 7(a) loan application process typically takes 60 to 90 days to process. It may take additional time to process if the loan requires additional authorization requirements or collateral appraisals. When approved, the lender will begin the closing process. The borrower will then repay the loan through …