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    • Guaranteed icon

      Guaranteed by the SBA

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      Low down payment

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      For purchasing assets, working capital, debt refinance

  • About the SBA 7(a) Loan:

    The SBA 7(a) Loan Program is the flagship lending program for the SBA, compiling by far the largest amount of loans for the most dollars. The SBA does not actually provide the loan. Instead, they provide a loan guarantee to the bank as an enhancement for loans that do not typically fit in the lender’s conventional lending guidelines. The SBA charges a one-time fee of approximately 2.25 percent of the loan amount that is passed on to the borrower by the Lender. This fee creates the pool of dollars to pay off on the guarantee amounts when necessary. Loans submitted under the SBA’s Preferred Lender Program (PLP) do not require additional underwriting by SBA.

    A Flexible Commercial Finance Product

    The SBA 7(a) Loan Program is one of the most flexible commercial finance products available today. Proceeds can be used for a wide variety of business purposes, including purchase of owner occupied real estate, leasehold improvements, equipment, working capital, business acquisition, partner buy outs and business startup expenses.

    Refinance Existing Debt:

    An SBA 7(a) loan can also be used to refinance existing business debt that was used for any of these purposes. In many cases, different uses of proceeds can be accomplished all in one loan, which simplifies the loan process for the borrower and usually results in lower monthly payments than other financing products on the market.

    Flexible Terms:

    Typical loan terms range from 10 – 25 years and are fully amortizing, so there are no balloon payments. Depending on the use of proceeds, financing may range from 70 percent to 100 percent of Total Project Cost. SBA 7(a) Loans have a maximum amount of $5 Million with no minimum amounts. Typically at First National Bank Small Business Finance, we consider loan requests from $350,000 up to $5,000,000. To be eligible for this type of loan, a business must be for-profit and fall within a size limit of having a tangible net worth of less than $15 Million and have had an average profit of less than $5 Million in the last two years.

    The SBA requires that all available collateral be taken to support a SBA 7(a) loan, however if the loan is not fully collateralized the SBA will still support the loan based on other underwriting requirements.

  • Applying for an SBA Loan:

    Our objective is to make the borrowing process simple and straightforward. You can begin by adding this product to your cart. During the checkout process you can select the option to set up time to meet with one of our experts.

    Required Identification:

    Depending on your type of organization, we may need one or more of the following documents when opening your account. These may include:

    • Department of State printout of business registration/Government-issued business license
    • CPA-signed tax return
    • Articles of Incorporation or Articles of Organization
    • Bylaws or Operating Agreement
    • Partnership Agreement

    Have the following available for your appointment:

    • All current mortgage statements
    • Current bank statements and/or account balances
    • List of all owners having 20% or more ownership in the subject business along with any affiliates (if applicable)
    • List of all current business debts and their respective monthly payments
    • Tax Identification Number for the business and/or its affiliates.
    • DUNS (Data Universal Numbering System) number

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Notices & Disclosures
  • NMLS #766529
  • SBA Lender
  • Some applications may require further consideration and additional information may be requested. Credit terms are subject to approval.
  • Normal credit standards apply. Maximum amount of credit is subject to SBA Program limitations.

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