Government Guaranteed Lending
SBA 7(a) Loan Program helps small businesses grow by offering longer amortizations, lower equity contributions and flexible terms. Most for-profit businesses are eligible. Commercial real estate must be majority occupied by the operating business.
- Working capital
- Machinery and equipment purchase
- Construction or refinance of owner-occupied commercial real estate
- Refinance of business debt
- Business acquisition
In addition, these specialty 7(a) programs are also available:
- Export Express, Export Working Capital program International Trade Loans
- Longer amortization allows for lower loan payments
- No future balloon payment
- Loans up to $5 million
- Terms up to 25 years for real estate debt
- Terms up to 10 years for machinery and equipment
SBA 504 Loan Program
SBA 504 Loan Program provides approved small businesses with long-term, fixed-rate financing used to acquire fixed assets for expansion or modernization with as low as 10% cash at closing.
- Purchase or construction of owner-occupied real estate
- Machinery and equipment purchase
- Up to 90% financing. Typical 504 structure is 50/40/10 (50% conventional bank loan, 25-year amortization, 10-year maturity; 40% SBA 20-year fixed rate loan; 10% equity contribution)
- Longer loan amortizations, no balloon payments
- 20-year fixed interest rates on SBA loan
- Savings that result in improved cash flow for small businesses
- Terms up to 20 years for real estate loans
- Terms up to 10 years for machinery and equipment loans
Business & Industry Loans
The USDA Business and Industry Guaranteed Loan Program is designed to help create and maintain employment and improve the economic and environmental climate in rural communities. The program provides stability, growth, expansion and employment for businesses in rural communities.
USDA loans offer longer repayment terms to increase cash flow, and higher loan-to-value terms than conventional loans. To be eligible for a USDA B&I Loan, your business must be located in a rural community as defined by the USDA Mapping Program, except for Food Desert loans.
Financing is available for:
- For-profit businesses, non-profits and cooperatives, public bodies
- Machinery & equipment purchase
- Investor and owner-occupied commercial real estate
- Longer repayment terms for better cash flow
- Higher loan-to-value than conventional loans
- No balloon payments – loans are fully amortizing up to 90% financing for real estate
- Loans can be used for refinance, acquisition, start-up, construction and working capital
- Security of long term financing commitments that are not affected by fluctuations in the business cycle
- Terms up to 30 years for real estate loans
- Terms up to 15 years for equipment loans
Census tract driven. Please call us to confirm address eligibility.
Food Desert Program
The USDA Food Desert Program offers financing for businesses in the food industry that can be located in urban areas in addition to rural areas.
Call us to confirm address eligibility; can be in urban area.
The same loan parameters and loan structure as the B&I program are applicable to the Food Desert Program.
Rural Energy for America Program (REAP)
REAP provides guaranteed loan financing to agricultural producers and rural businesses to purchase or install renewable energy systems or make energy efficiency improvements.
- Up to 75% financing on installation of renewable energy systems or improvements to building, equipment or processes for improving energy efficiency
- Loan term up to 15 years, determined by useful life of equipment/install
- Businesses or agricultural producers are eligible
- Low guaranty fee-1%
- No balloons, fully amortizing loans
Export-Import Bank of the U.S.
For many U.S. exporters, a lack of access to financing can stand in the way of global growth. The Export-Import Bank of the U.S. has several forms of support that can provide a solution, including working capital lines of credit for inventory and receivables.