- Loan amounts up to $15 million
- Terms up to 10 years
- Rates as low as 2.25%
- Monthly payments
- May require collateral
- Time in business must be at least 2 years
- No recent bankruptcies or liens
An SBA loan is a partially, government-backed loan with long terms and low interest. Payments are made monthly and the loan is available to businesses that have been established for at least 2 years. Although it isn’t always required, some collateral may be needed on a case by case scenario.
MORE ABOUT SBA LOANS
An SBA loan is issued by a lender or alternative financing company, like Omni Capital, that is partially backed by the U.S. Small Business Administration. There are many types of programs through the SBA including 7(a) loans, CDC 504 loans, microloans, and disaster loans. Not all lenders participate in SBA programs, but here at Omni Capital we offer the 7(a) option, the most common program. Loan applications are specifically designed to determine eligibility to receive the SBA guarantee. If you are approved, it takes anywhere from 30- 60 business days for you to receive the funds.
WHERE DO I SIGN UP?
To qualify your business, we review the application, business financials, ownership and affiliations, business license, income tax return, business lease and an overview of the history and challenges of the business. Once we receive this information we can easily tell if your business qualifies for an SBA loan. We then take a look at financials to confirm your business cash flow can support the loan’s repayment. There can be no bankruptcies on the business in the past 3 years or defaults on previous government back loans.
7(a) loans have a maximum amount of $15 million, but average around $350,000. Loans guaranteed by the SBA have an average fee of around 3% of the dollar amount guaranteed. Fees are calculated based on the loan amount and maturity. Rates can be as low as 2.25%. Fees and rates truly depend on the amount and the lender.
Each SBA loan is specifically tailored to your business. You may be required to provide additional information as to what the funds will be used for. SBA loans are meant to be used for seasonal financing, real estate, equipment or long-term capital.
or speak with a business funding expert today!
Do I Qualify?
Before diving in head-first, it’s important to know whether or not you qualify for these types of SBA Loan options, and if it’s going to be a beneficial choice for your business. When you come to Omni Capital, we’ll be able to get you the funding your small business requires to succeed in your field.
Do you think an SBA Loan is right for you?