reported that so far the U.S. Small Business Administration has approved 14 claims for low-interest federal disaster loans across the state. Five claims were for homes and nine for businesses. The …
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The U.S. Small Business Administration is making low-interest loans available to New Mexico companies affected by this year’s freeze and drought.
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Obama administration officials said a government shutdown would mean about 800,000 federal workers would no longer be on the job, the St. Louis Business Journal reports. It also would mean the Small Business Administration wouldn’t approve any government-guaranteed loans, and the Environmental Protection Agency would stop issuing permits and halt reviews of environmental impact statements, slowing the approval of transportation and energy-related…
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The U.S. Small Business Administration has set up centers in St. Louis County and Franklin County so victims of the New Year’s Eve storms can apply for low-interest loans to repair their homes and bus
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ATLANTA–(BUSINESS WIRE)–The U.S. Small Business Administration announces today that federal economic injury disaster loans are available to small businesses, small agricultural cooperatives and most private non-profit organizations of all sizes located in Alabama because of drought and excessive heat that began on March 1, 2010. The SBA’s disaster declaration includes the following counties: Autauga, Baldwin, Barbour, Bibb, Blount, Bullock, Butler, Calhoun, Chambers, Cherokee, Chilton, Choctaw
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ATLANTA–(BUSINESS WIRE)–The U.S. Small Business Administration reminds homeowners, renters, businesses and non-profit organizations located in Pennsylvania of the deadline to submit disaster loan applications for damage caused by the severe storms and flooding that occurred on Sept. 30, 2010. The deadline to file an SBA disaster loan application for physical damage is Jan. 14, 2011. Disaster loans are available to homeowners, renters, non-profit organizations and businesses of all sizes in Del
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Many small and medium sized retailers have found themselves in a difficult squeeze of circumstances when it comes to finding a working capital loan to fund expansion, purchase advertising, or merely continue funding day to day operations and payroll.
According to the SBA (Small Business Administration), small businesses in need of capital can always go directly to the agency, or apply for a loan through one of the major banks that the agency guarantees loans with. An SBA backed loan is tailored for small business and will usually feature the most advantageous rates and terms. However, a business owner needs to remember that this type of loan is not a quick solution, as the process of underwriting and securing funds can often take longer than 3 months. Approvals in this restricted credit environment are also hard to come by and usually reserved for the most credit worthy businesses
Businesses that have made an investment in large amounts of physical assets such as office furniture, computers, or industrial equipment may be able to get a secured loan using these assets as collateral. Because the loan is secured, credit of the business and/or owner may not be as much of a factor as it would’ve been with an SBA type of loan.
Typically, these types of loans are structured for longer terms, similar to an auto loan of 3, 5 or 7 years. Interest rates can also vary widely depending on the business, type of equipment the loan is secured against, and other factors. This type of loan also means the lender can take the equipment if the business defaults on the loan or is liquidated prior to full repayment. Contact a business loan broker to access this type of funding.
For a business, especially retailers, that accept credit cards and have been unable to obtain financing through a traditional bank, a credit card receivable loan may be an answer. These loans are based off the businesses historical credit card receipts and are similar to a merchant cash advance. While the interest rates are not as low as an SBA type loan, that rates overall are generally 50-80% less than a merchant cash advance with no additional requirements to switch credit card processors or buy equipment. There are also no upfront fees or points, and businesses with owner credit as low as 550 can be approved.
Businesses need to examine every avenue available to them in this historically bad economy when searching for a working capital loan. The above recommendations give at least a few different options that are out there for various business situations. If you are a retailer who needs a business loan and has a situation that couldn’t get approved by a bank, click here for more information.
Neal Coxworth is an entrepreneur and a 17 year veteran of the consumer credit industry with experience in originating, underwriting and processing mortgage, student and consumer credit loans.
Find out how you can get a more cost effective working capital loan for 50-80% less than a merchant cash advance without switching processors or buying equipment.
Author: Neal Coxworth
Article Source: EzineArticles.com
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