Features & Benefits
- Loan amounts can be up to $5,000,000, with a maximum guaranty at $3,750,000.
- Requires down payments as low as 10%, which is typically lower than traditional financing.
- Down payments can vary, depending on use of loan proceeds.
- Offer longer repayment terms, resulting in lower monthly payments.
Other Key Facts
- Repayment terms can be up to 10 years for inventory, working capital and machinery & equipment and 25 years for commercial real estate.
- SBA 7(a) loans are fully amortized
- No balloon payments
- No prepayment penalty on loans with maturity less than 15 years
- Real estate loans must be owner-occupied, and meet certain occupancy percentage requirements