Business Loans

Small Business Loan

If you’re ready to start a new business or expand an existing one, you’ll need capital to account for a variety of expenses, including:

  •        Real estate
  •        Fixtures and furniture
  •        Equipment
  •        Machinery
  •        Inventory
  •        Supplies
  •        Marketing and advertising
  •        Information systems (I.T.)
  •        Licenses and permits
  •        Legal and professional fees

As you approach your new venture, your biggest concern will be where and when you can obtain financing.  Rather than invest your personal savings or add to your credit card bills, a small business loan will give you the capital you need with a repayment schedule that fits your needs.  Small business loans are geared toward startup entrepreneurs and existing small businesses that need an influx of working capital.

With our small business loans, you won’t need to waste time with tedious applications and red tape so you can focus on building your company.  Our lending specialists will help you find the small business loan that’s right for your new project.  Repayment, interest rates and term lengths can vary based on the lender and type of loan.  Our lending specialists will help you decide what type of small business loan you want so you can get the working capital you need.

 

Small Business Administration Loan (SBA Loan)

The Small Business Administration (SBA) is a government agency designed to make it easier for entrepreneurs to receive the funding they need at below-market rates.  Small Business Administration loans are funded by SBA-approved lenders and guaranteed by the SBA, which allows lenders to finance your loan with more favorable terms.  The SBA sets strict lending guidelines for many types of loans to small businesses, non-profit organizations, and homeowners and renters who have been affected by natural disasters.

Whether you’re creating your startup business plan or ready to expand beyond your existing capabilities, an SBA loan may be the best way for you to obtain working capital.  Since your business must meet special requirements to qualify for a SBA loan, acquiring one can be a challenging process without the proper guidance.  Our trained staff will guide you through the process of applying for an SBA 7a, CDC/504, Microloan or Disaster loan for your company.  From advising you on which SBA loan you need to filling out the forms and handling the qualification process, our lending professionals are ready to help you get the SBA loan you need.

SBA Loan Types

Criteria

7A

504/CDC

Express

Disaster

Microloan

Headline

Most versatile SBA loan; can be used to finance real estate, fixed assets, working capital or refinance existing loans.

Best for real estate and other fixed assets.

Best for immediate working capital needs.

Best for disaster assistance.

Best for small financing needs.

Eligibility

Borrower must operate a for-profit enterprise, plan to use the funds for a sound business purpose and be “small” by SBA standards.

Borrower must plan to use over half (51%) of the property for the business within one year.  Caps exist on current company sales and number of employees.

Lender-specific.

For-profit and not-for-profit entities in need of disaster assistance such as economic injury or physical damage.

For-profit and certain not-for-profit organizations.

Amount Caps

$5 million

$5 million

$350,000

$2 million

$50,000

Purpose of Use

Real estate, other fixed assets, working capital, loan refinancing and many other options.

Real estate, equipment, machinery and other fixed assets.

Immediate working capital needs; approval decision given within 36 hours.

Uninsured property damage to real estate or leasehold improvements.

Fixed assets other than real estate, working capital, inventory and supplies.

Structure

Fixed-rate and adjustable-rate options.

Fixed-rate

Fixed-rate and adjustable-rate options.

Fixed-rate

Variable-rate

Term

Flexible.  7-, 10- and 25-year options for working capital, equipment and real estate, respectively.

10- and 20-year options.

Up to seven (7) years.

Up to thirty (30) years.

Up to six (6) years.

 

Term Loan

Term loans are meant for small businesses that want to spread out their loan repayment over a longer period of time.  These businesses believe that existing operations or planned expansion will allow the firm to achieve serious return on investment in the medium or long term.  For these companies to fund immediate working capital needs or finance capital improvements, a term loan provides relief in the form of smaller interest payments in the immediate future.  Term loans typically have an adjustable interest rate, which is pegged to a key financial benchmark like the Federal Funds Rate offered by the U.S Federal Reserve.  This means that the term loan rate can increase or decrease along with the benchmark rate.  Term loans are typically repaid in up to ten years but may last longer in certain cases.  Our staff will help you decide if a term loan is what you need to help your business.

Installment Loan

Installment loans are familiar to small business owners and entrepreneurs who have purchased a car or house.  Like an auto loan or mortgage, an installment loan includes a simple form of repayment that operates on a set schedule for a fixed rate.  The term, interest rate and repayment schedule are determined at the time of borrowing so small business owners don’t have to worry about balloon payments or sudden changes in interest rates.  Owing to their fixed structure, installment loans are perfect for real estate and other fixed asset purchases.  Our lending specialists are ready to help you decide if an installment loan is the right choice for your business.

Factoring

Factoring is not a loan.  Rather than borrow capital to fund an expansion, small business owners choose factoring to provide an advance on expected accounts receivable receipts.  The small business owner sells the amount of the account receivable to a “factor,” who provides an immediate advance of 70-85% of the receivable in most cases.  When the receivable is paid, the small business owner receives the remainder of the receivable balance, less the factor’s fee, which is typically 4-5%.  Due to its unique structure, factoring is a valuable service for companies who experience a slow turnaround in converting accounts receivable into cash.  It can also be advantageous for companies who have immediate working capital needs and don’t have the credit necessary to obtain a small business loan.  Our staff is standing by to walk you through your financing options and determine if factoring is right for your business

Franchise Loan

Franchising is one of the most successful business models in the United States and abroad.  Franchising allows new business owners to use the existing trademarks, branding and proprietary knowledge of a successful network of businesses, which borrows on strong brand loyalty and reduces startup costs for franchisees.  Lenders know that franchises are safe bets and are more likely to approve franchise loans as a result.  They also typically offer lower interest rates and shorter loan terms to franchisees because of their high probability of success.

Once you’ve determined the brand and location for your business, your franchisor will help you understand the resources you need, including personnel, inventory, facilities and working capital.  Expect that you’ll need to pay 20-30% up front in a down payment for the franchise.  Once you’ve made your decision to start a franchise, our certified loan officers and vast network of lenders will get you the startup capital you need.

Business Acquisition Loans

When you’re ready to grow your business with a new or expanded location, a Business Acquisition Loan might be right for you.  Business Acquisition Loans often originate from traditional lenders such as banks or credit unions but may also be subsidized by the Small Business Administration (SBA) through their SBA 7(a) loan.

Business Acquisition Loans can vary in terms of length, interest rate and repayment term.  Our lending professionals know how to find you the best terms for your Business Acquisition Loan to make that expansion possible.

Merchant Cash Advance

Many businesses experience slow seasons.  You know business will pick up in the near future but in the short term you’re faced with a lack of cash flow.  In this case, a Merchant Cash Advance may be exactly what you need to pay your bills and stay in business until the busy season.  Merchant Cash Advances are the perfect solution for small businesses that have fluctuating sales seasons, need quick cash or have credit problems and cannot apply through traditional channels.

When a lender gives you a Merchant Cash Advance, you receive a lump sum now and promise to repay the lender through a portion of your future credit card sales.  Unlike traditional loans or cash advances, the lender will look at your business sales, not your past credit history.  Our lending staff knows how to find you the best Merchant Cash Advance terms to suit your working capital needs.  We’re here to help you choose the lending partner that’s right for your small business.

Line of Credit

A Business Line of Credit is ideal for the small business owner who wants low fees, low interest and quick access to cash.  A Line of Credit typically includes no cash advance fees and low interest rates, and is an unsecured loan – meaning that you don’t need to provide collateral to receive it.

The Line of Credit functions similarly to a low interest credit card with a high credit limit.  When working capital needs change or unplanned expenses arise, you can draw against your line of credit to get the cash you need.  Whether your business is large or small, our lending staff knows how to customize a Line of Credit that fits your cash flow needs, repayment preferences and company size.

Equipment

Equipment is essential for businesses to function, whether you’re managing a farm or building web infrastructure.  Since the vast majority of U.S. companies purchase their equipment through credit or other financing terms, many customizable options exist to help you get the equipment your small business needs.

Equipment loans can vary in terms of length, interest rate and repayment term.  Our lending professionals know how to find you the best terms to finance your equipment and allow your small business to grow.