What is a SBA 7A Loan?

Are you a small business owner who is trying to find a way to secure and land a new commercial loan to help with the start up costs of your business? If so, you have probably felt overwhelmed at all of the information that is out there, and feel unsure that you will be able to qualify for a loan that you need to get your small business up and running. There is a way that you can find the commercial lending that you need, and it may be easier than you think. The SBA has been in existence for many years and has helped a lot of small companies and businesses find the resources and funding that they need to get a good start.

What exactly is the SBA 7(a) lender program? The certified lenders program offers services on commercial loan applications that are received from lenders who have a good SBA lending record and who the SBA feels have a good working knowledge about the SBA and its products and procedures. The preferred lenders program is another program through which the SBA uses as a way to streamline the procedures that are necessary to provide the commercial loan assistance and funding to the small business owners. There are other parts of the SBA 7(a) lenders program that include the following:

• Patriot Express
• Certified Lenders Program
• Preferred Lenders Program
• SBA Express
• Community Express
• Secondary Market Programs

These are all loan programs that the SBA uses with lenders that they refer small business owners to when they are in need of commercial loans. The SBA does not issue the commercial loans themselves, but rather work with lenders and bankers that are in the programs to help get the funding to the small business owners. If you are in need of obtaining a commercial loan for your business and do not know where to go to get the funding that you need, the SBA is available to help you and find a lender that is part of a SBA 7(a) program that will be able to get you the loans that you need.

SBA loans and loan programs are designed to help the small business owners on their way to making their business become a success and grow. The SBA guarantees small business loans that meet the requirements and guidelines. If you are unsure if your small business qualifies for a SBA loan, you can talk to a lender or banker and help find out if that is an option for you. The interest rates and terms vary on all of the different SBA programs, and these numbers are constantly changing due to market conditions and the status of the economy. The rates may be higher or lower in your area as well. In each of the programs of the SBA 7(a) lender program, there are different loan amounts that are allowed to be borrowed as well as a maximum amount that the SBA will guarantee on the loan. Most of the loan programs have a 75 to 85 percent maximum amount that the SBA will guarantee on the total amount of the loan. Your lender or banker can help you find a program that might work well for your business.