SBA loans have played a very important role in many successful businesses. The SBA (Small Business Administration) loan is a type of business loan that is guaranteed by the U.S. government. SBA loans can offer certain benefits which are not offered with other types of loans, such as term up to 25 years, no hassle to refinance every 5 years, and lower equity requirements.
SBA will partially guarantee loans for a variety of purposes, including:
- Start-up businesses
- Refinance debt
- Purchase of commercial real estate (owner-occupied)
- Purchase of machinery and equipment, furniture, fixtures, and leasehold improvements
- Business acquisition
- Working capital