SBA Small Business Loans And How They Can Be Used

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Designed for businesses looking to purchase an existing business, expand to another location, buy equipment, acquire land or a building, or a combination. But after the credit crisis that started in 2008, banks seized up on loans to businesses and individuals and, in general, were lending only to established large businesses that were already highly capitalized. Federal certifications to be discussed: Woman-Owned Small Business, Small Disadvantaged Business, Veteran and Service Disabled Veteran Program, 8(a) Business Development Program, and HUBZone Empowerment Contracting Program.

New Jersey, whose population is smaller than Pennsylvania’s, ranked 10th for SBA loans last year, with $717 million total. Small business is the lifeblood of the American economy and a significant generator of employment, creating more than 64 percent of new jobs, according to the U.S. Small Business Administration.small business administration

In addition, SBA’s National Ombudsman plays a key role in helping small business owners deal with specific regulatory burdens and challenges that result from federal agency processes. A lender feels comfortable when he knows that the borrower is running his business knowledgeably; then, he finds no reason why he should not start financing these kinds of businesses.

SBA Alabama District Office¬†staff and resource partners worked together at a recent networking and matchmaker event to help small businesses do business with the State of Alabama. The report is called Veteran-Owned Businesses and Their Owners: Data from the U.S. Census Bureau’s Survey of Business Owners.small business administration

All relevant comments were presented to and discussed with senior SBA leaders and the plan amended accordingly. Instead of lending the money directly to the businesses, it sets and uses guidelines for the loans through partners like credit unions, micro-lending institutions, banks and community development organizations.small business administration

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