GOVERNMENT: New SBA Loans Available

In an effort to boost lending to small businesses, the Small Business Administration (SBA) is touting three new lending programs. Banks that participate in the SBA’s “Preferred Lender Program,” for example can offer loans up to $250,000 under the “Small Loan Advantage” program; loans up to $150,000 come with an 85 percent guarantee for the bank (75 percent for higher loans). The application process for such loans has been streamlined, according to the SBA.
Another SBA loan program is designed to assist with commercial property refinancing for small businesses; the Certified Development Company 504 program offers long-term fixed-rate financing to acquire major fixed assets.