An SBA Working Capital Loan has been referred to as the “gold standard” of loan options for small business owners. It is a government-backed loan that is partially guaranteed by the Small Business Administration (SBA), an agency of the federal government.
While these loans are harder for small business owners to qualify for due to more stringent requirements as listed below, they are truly one of the best options for those businesses looking to refinance debt, hire employees, purchase equipment, or just looking to expand.
Timing: Pre-Qualification can happen in minutes. Assuming you pass initial requirements and secure a pre-approval, expect funding to take approximately 4 weeks, and could take longer.
Requirements: 3+ years in business, verified through three complete tax returns (Personal and Business); minimum personal FICO of 650 for ownership; you’ll need to supply business financial statements including Profit & Loss, Balance Sheet and potentially other documents as deemed necessary.
Process: Submit your company’s 6 most recent months of business and personal banking history along with our easy online application to find out if you qualify – your dedicated SBF Funding Manager will take it from there!
Approval Amounts: $50,000 to $5,000,000.
Repayment Terms: 10-year term, monthly payments.
A Line of Credit for your business provides a very flexible option for controlling when and how much funding you take on. Once approved, you can draw as little or as much as you want up to the maximum approved amount, which ensures that you never have to pay for more money than you need. And with no prepayment penalty you can pay back whenever is feasible, potentially reducing the interest you pay.
Timing: If approved, funding can take place in as little as 24 hours, although not all business owners will have this experience. In some cases, additional documentation will be needed, which can delay funding.
Requirements: +3 Years in business; minimum personal FICO of 650 for ownership; minimum annual gross revenue of approximately $480K. Business is NOT a sole proprietorship.
Process: Submit your company’s 6 most recent months of business banking history along with our easy online application to find out if you qualify – your dedicated SBF Funding Manager will take it from there!
Approval Amounts: $10,000 to $250,000
Repayment Terms: 6 month or 12-month terms; 12% to 47% simple interest (annualized)*
For those that want the benefits of a more traditional loan but still need the funds in as short a time as possible, we can offer a standard Term Loan. Term Loans are slightly easier to obtain than an SBA Loan, and time to funding is faster, but maximum repayment time will be shorter, and they still carry relatively strict approval requirements as indicated below.
Typical uses are for working capital, to refinance debt and to purchase equipment.
Timing: Pre-Qualification can happen in minutes. Assuming you pass initial requirements and secure a pre-approval, expect funding to take 2 to 4 weeks, and could take longer.
Requirements: 2+ years in business, verified through two complete tax returns; minimum personal FICO of 640 for ownership; you’ll need to supply business financial statements including Profit & Loss, Balance Sheet and potentially other documents as deemed necessary.
Process: Submit your company’s 3 most recent months of business banking history along with our easy online application to find out if you qualify – your dedicated SBF Funding Manager will take it from there!
Approval Amounts: $30,000 to $500,000Repayment Terms: 2 to 5-year terms, monthly payments.
* rates and terms dependent on approval.