SBA 7(a) Loans

Apply for funding to grow your business

Apply Now
The average business loan comes with a 10-18% interest rate while SBA 7(a) Loans have an average 5-9% interest rate!

It’s our mission to provide all business owners the resources they need to succeed and grow.

What Are SBA 7(a) Loans?

A small business loan backed by the U.S. Small Business Administration is the most affordable financing option for small businesses. These loans offer flexible terms and low-interest rates to help entrepreneurs, veterans, women, and minorities get convenient funding that helps grow their business. The Small Business Administration doesn’t lend money directly to small business owners, but instead, sets guidelines and provides guarantees to partnering lenders.

The Small Business Administration guarantees up to 90% on some SBA 7(a) loans. This reduces the risk for lenders, which translates to lower payments and more flexible terms for borrowers. When you get a SBA 7(a) loan through Opportunity Business Loans, you will receive the funding you need through a loan that offers low annual percentage rates (APR), low-interest rates, and low down payments. 

How Do They Work?

The SBA 7(a) Loan Program is the most popular financing option for small businesses. Business owners love the long terms and flexibility that comes with this loan program.

The purpose of SBA 7(a) loans is to encourage lenders to provide affordable loans to small businesses that might otherwise find it difficult to obtain funding with reasonable terms and conditions.

The SBA guarantees 85% of loan amounts up to $150,000 and 75% on loans amounts greater than $150,000. They also set maximum interest rates, which results in small businesses receiving affordable loans to help them grow their business.


Features

  • Approval Amount: $200,000 – $5,000,000
  • Term Length: 5 – 25 Years
  • Minimum Credit Score: 680
  • Annual Revenue: $500,000
  • Time in Business: 2 Years
  • Cost of Capital: 5% – 9%
  • Time to Approval: 3 – 5 Days
  • Time to Fund: 1 – 3 Months

Benefits

  • Generous term lengths
  • Interest rate caps
  • Lower down payment requirements
  • Flexibility of use
  • Most affordable financing option for Small Businesses
  • No hidden fees
  • Great for businesses in need of working capital

Types of SBA 7(a) Loans

The Small Business Administration offers multiple types of SBA 7(a) loans that are each designed for specific businesses. Opportunity Business Loans will assess your current situation to help you get approved for the loan that matches your business needs the most.

SBA 7(a) Standard

This is the most common SBA loan and is the standard option for the majority of small businesses. It is a great choice for those with who want high borrowing limits, low rates, and convenient repayment terms. 

Most small businesses qualify for the SBA 7(a) Standard Loan. The SBA guarantees up to 85% on standard loans up to $150,000 and 75% on loan amounts greater than $150,000. 

The maximum loan amount is $5,000,000 and it comes with a max loan term of up to 25 years. For smaller loan amounts, collateral may not be required.

 

SBA 7(a) Small

The SBA 7(a) Small Loan is similar to the Standard but is used for smaller loan amounts. This option is for borrowers that want low interest rates and long repayment terms but don’t need as much capital. 

The main benefit of this loan is how quickly you can get funded. Small Loans have loan amounts up to $350,000 and turn around times in as little as 5-10 days.

The SBA guarantee is the same on this loan is it is with the Standard. For smaller loan amounts of $25,000 or less, collateral is not required. 

SBA 7(a) Express

If you need capital quickly, consider applying for an SBA 7(a) Express Loan. You can get approved for this loan in under 36 hours! 

The Express Loan is available in amounts up to $350,000 and offer the same loan terms as the Standard Loan. If you apply for a Express Line of Credit, you can get a loan term of up to 7 years. 

However, the SBA only guarantees up to 50% on SBA Express Loan amounts, which means that interest rates might be higher. These loans are often used for expansion, renovation, new construction, equipment financing, and working capital.

SBA 7(a) Export Express

The SBA 7(a) Export Express Loan was created for exporters who need loans and Linea of Credit of up to $500,000. The SBA guarantees up to 90% on loans under $350,000 and 75% on loan amounts over $350,000.

Export Express Loans also come with an expedited process that can approve you within 24 hours. This faster turnaround will allow you to get the capital you need quickly to grow your business and maximize profits.

SBA 7(a) Export Working Capital

The SBA 7(a) Export Working Capital Loan is for businesses that need additional working capital to support export sales. This loan comes with available amounts of up to $5 million and the SBA guarantees up to 90%, no matter the size of the loan.

This means that you can get affordable loans, no matter the size. Export Working Capital Loans also come with fast turnaround times for approvals, with most businesses being approved within 5-10 days.

However, these loans do require export-related inventory or receivables as collateral as well as a personal guarantee for each person that has at least a 20% stake in the business.

SBA 7(a) International Trade

SBA 7(a) International Trade Loans are long-term loans for businesses expanding because of export sales or are needing to modernize to address advancements in foreign competition.

These loans are similar to Export Working Capital Loans, but last much longer. This option offers loan terms of 10 years for working capital, machinery, and equipment, and 25 years for real estate.

Your business can quality for up to $5 million and get approved in as little as 5-10 days. 

SBA 7(a) Veterans Advantage

The Small Business Administration is offering extended benefits to businesses that are majority owned by veterans, active service members, or spouses and widows of veterans. 

The SBA 7(a) Veterans Advantage Loans come with lower fees than other options and also offer up to $5 million in funding. For your business to qualify, it must be at least 51% veteran-owned and controlled. 

Contact us today to see if your business qualifies for the Veterans Advantage. 

SBA 7(a) CAPLines

The SBA 7(a) CAPLine Loans are similar to the Standard Loans except they offer an ongoing Line of Credit instead of a lump-sum loan. This option is meant to help small businesses meet short-term working capital needs.

There are 4 Lines of Credit offered through this program:

  • Seasonal: The Seasonal CAPLine is designed for businesses that experience seasonal highs and lows in sales. 
  • Contract: This LOC is designed to provide flexibility to businesses that may need to hire more staff or purchase more resources to meet an increase in contract jobs.
  • Builders: This LOC is designed for small general contractors and builders who need help meeting material and labor requirements.
  • Working: The Working CAPLine is designed for businesses that have recurring short-term needs. 

All of these Lines of Credit are more flexible options for borrowers than standard commercial business loans. The maximum repayment terms for these LOCs are 10 years, although the Builder CAPLines are capped at 5 years. 

The turnaround times vary, although your business is likely to be approved within 21 days of application.

SBA Loan Advantages

The SBA 7(a) Loan Program comes with various advantages that help businesses receive the funding they need through a loan that is convenient and affordable. When you obtain a small business loan, you will have access to the following advantages.

High Loan Amounts
SBA loans offer up to $5,000,000 in funding to small businesses.
Fast Funding
Most businesses receive funds within 30-90 days. When you apply with Opportunity Business Loans, you will get 1-on-1 consulting to help speed up this process down to 5-10 days in some cases.
Low Interest Rates
Your business will enjoy some of the lowest interest rates available to small businesses, with the typical SBA 7(a) loans offering 5-9%.
Long Repayment Terms
Depending on your business needs, you can get a loan anywhere from 3 to 25 years. This offers great flexibility to ensure long-term success.
Broad Eligibility
SBA Loan proceeds can be used for a wide array of business purposes.
No Prepayment Fees
You will never be charged prepayment fees for loans with repayment terms less than 15 years.

SBA Loan Requirements

Although SBA business loans are great, they do come with a few requirements that your business must meet to get approved. Opportunity Business Loans will work with you to help increase your chances of approval. If you end up not qualifying, we will help your business find alternative financing options that will still maximize convenience and affordability.

1.
Credit Score (FICO)
For a higher chance of approval, you should have a credit score of at least 680.
2.
Financial History
Your business must have no recent bankruptcies, tax liens, or foreclosures. Additionally, you cannot have more than 5 overdrafts or negative days per year.
3.
Collateral
Depending on the amount of your loan, you might be required to secure the loan with collateral. This is usually the case on loan amounts above $25,000.
4.
Location
Your business must be located and operates in the United States.
5.
Annual Revenue
Annual Revenue of $500,000 is required on most SBA 7(a) loans.
6.
Business Size
To qualify for an SBA Loan, you must be a "small" business according to the SBA size guidelines.

Working With Opportunity Business Loans

Our team of financial advisors have been helping thousands of businesses every year receive the funding they need to take their business to the next level. Whether you need a small loan to cover short-term expenses or are planning a massive construction project, we are here to help. Our team is experienced in providing fast and reliable service to get you the SBA Loan you need, as quickly as possible. We will ensure you get a loan that is convenient and affordable so that you can focus more on running your business and less on loan payments. Apply for an SBA 7(a) Loan today through Opportunity Business Loans and receive all of the following features.

Fast Approval Times

Our team works hard to get you approved for a SBA Loan as quickly as possible. We will walk you through all of the documents and requirements needed to lower your approval time and increase your chances of acceptance.

Trustworthy

Thousands of small businesses every year rely on our team of financial advisors to get them the funding they need quickly and conveniently. Our goal is to secure the funding you need as fast as possible, through a loan that helps you grow your business and maximize profits.

1-on-1 Consulting

We understand that most clients have never borrowed an SBA 7(a) Loan before and may not be clear on exactly what to do. Our experienced underwriters will work with you to ensure you have the best chance of loan approval.

Expedited Funding

Once your business is approved, we handle the funding process as quickly as possible. We will coordinate the disbursement of funds to you and deposit the funds in your business bank account as soon as the Small Business Administration approves your application.

Application Assistance

Applying for an SBA 7(a) Loan can be stressful. We will help make this process as simple and stress-free as possible. Our team will help you fill out all of the required paperwork and will help you apply for the loan that fits your business needs most.

Long-Term Relationships

Most of our clients are repeat customers. We strive to creating long-term relationships so that your business has funding opportunities whenever you need them. Your business can take advantage of our Small Business Loans whenever you need them.

Cut Your Payments In Half

Opportunity Business Loans offers an industry-leading, 3-step process that ensures you get the funding you need as quickly as possible. First, begin the application process by clicking the button below. Next, we will process your application and pre-approve you within 24 hours. Finally, once approved, we will deposit the funds into your business bank account as quickly as possible. You can cut your payments in half by applying for an SBA Loan today!

Apply Now

Overt Discrimination: What is it and how do you handle with it?

Table of Contents Overt discrimination in the workplace Overt discrimination in lending What to do when you are faced with overt discrimination What are the other types of discrimination? Disparate Treatment Disparate Impact Tips for preventing discrimination in your business…

Read more

Top Women-Owned Businesses in Austin, TX in 2021

Baby Greens 1508 W Anderson Ln Austin, TX 78757 (512) 770-6255 Baby Greens has saw a significant increase in popularity since the burger joint started serving made-to-order salads and wraps in 2004. The tiny drive-thru began to grow quickly due…

Read more

Top 9 Veteran Owned Businesses in Austin, TX

Here are 2021’s top 9 veteran-owned businesses in Austin, TX. Support your local veteran-owned businesses today!

Read more
All rights reserved @ Personal Loans 2021