If you want to kick start and inject money into your company, the first step you should take is to gather information on the Small Business Administration Loan / SBA loan. SBA was founded in 1953 by Congress to help millions of Americans start their own businesses. SBA has offices in the U.S., and have a very flexible guidelines for making loans to potential business men like you.
SBA loan requirements
You can secure SBA loan for a new business to create or upgrade your existing business. What is intended, you need a good explanation of the purpose and submit it to SBA managers. Ideally, most SBA loans require you 10-20% equity in the company to keep. Some SBA loans require that your personal assets as collateral.
You need a good credit record to secure a SBA loan. In addition, you must have a valid business plan and a certain amount of capital.
Small Business Association Loans: How to get an SBA loan
To ensure an SBA loan, you must prove you’ve been rejected by at least two different banks. In other words, the rejection of a loan source, a key condition for obtaining the loan. After being rejected by a bank, ask the managers to coordinate with the SBA and provide the loan under the SBA loan guarantee plan. Having mentioned that the majority of SBA loan purchased when you are dealing directly with the SBA.
Fill in the required loan application personal accounts, and monthly cash flow projections. Make sure your paperwork is complete and in order. SBA check your repayment capacity and history of default or bankruptcy.
Types of Small Business Loans Association
* SBA loans for start-ups with the maximum length of the repayment of 7-10 years.
* SBA loans for existing business.
* SBA loans for property with a maximum loan amount to $ 2 million. SBA requires as little as a 10% down payment on a commercial real estate loans and the imposition of a 3-year prepayment penalty
* SBA loan for business acquisition which the maximum length of repayment is 10 years. SBA will require a cash deposit of between 25% -33% of the total loan amount to make.
Secured Loans, Sunday, April 1, 2012, at 7:52 PM under category Loans and permalink http://cameljourney.blogspot.com/2012/04/small-business-administration-loan-sba.html. Id 5.888.