
SBA LOANS
These loans are guaranteed by the Small Business Administration and offer some of the lowest rates on the market. SBA loans are best for strong credit borrowers whose business has been operating for at least two years. These loans are best for business owners who don't need immediate working capital as the application process is longer than other types of business funding.
Pros:
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Lowest rates on the market
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Longer repayment terms 7-25 years
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Alternative to seeking investors
Cons:
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Long application process
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More qualifications required
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At least two years in business preferred
Best for:
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Business looking to expand or refinance debt to increase cash flow on hand
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Business with good credit willing to wait for funding for competitive rates
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Entrepreneurs that want to develop and grow their new venture
