While working with small businesses for purchasing property, I am often asked what kind of financing is available. I respond, “Conventional of course, and this ‘thing’ called SBA.” For those of us that aren’t experienced in the difference, I’ve taken a clip from Wells Fargo SBA Lending webpage (click here for direct website or on photo) to better define this “thing” or rather, lets better refer to it as a Program. Small Business Administration (SBA) provides an opportunity for a small business to purchase property with lower down payments and long repayment terms. Below is the difference between the SBA 7(a) and SBA 504 programs that are available.
I’ve found that some companies have experienced an opportunity to purchase a property where they previously could not because of their use of this program.
So there you have it. A quick insight into the SBA loan programs.
Do you need more information or help regarding your commercial real estate? Call today and I’ll be happy to discuss your needs. I’ll even send you a free survey of available properties to help you value your property.
DISCLAIMER: I am not a lawyer, accountant, or an adviser. Nor am I in any way suggesting or implying you or anyone else use Wells Fargo or any other provider for that matter. All information herein is for information and educational purposes only. You must locate and retain your own source of professional information. I do not warranty or guarantee any information to be accurate.