SBA 7(a) Loans

Buy, Refinance or expand with a low-cost SBA 7(a) commercial real estate loan

With 25-year terms and interest rates ranging from 5.25% to 6.50%*, 7(a) SBA loans are a great option for small businesses looking to refinance an existing commercial real estate mortgage, buy an office building or other owner-occupied commercial space.

SBA 7(a) loans are the most common type of SBA loan. The loans from $250,000 to $5,000,000 can be used for owner occupied properties : The SBA 7(a) loan is appropriate for most types of small businesses and can be used for a wide range of purposes, including:

• Working Capital
• Debt Refinancing
• Marketing / Advertising
• Hiring
• Equipment Purchase
• Commercial Real Estate Purchase
• New Construction
• Leasehold Improvements
• Furniture and Fixtures
• Business Acquisition
• Franchise Purchase
• And more…

What are the SBA 7(a) Loan Qualifications?

SBA 7(a) loans are available to both startups and more established small businesses. To qualify for an SBA 7(a) loan, you will generally need to have:
• A good credit score (above 680 is ideal
• No recent bankruptcies, foreclosures, or tax liens
• Collateral: While the SBA will not refuse to guarantee a loan due to insufficient collateral, a lender is less likely to approve a loan that isn’t backed by sufficient collateral. Loans under $25K don’t need to be collateralized
• 10% down payment if you are using the loan to purchase a business, commercial real estate, or equipment

Startups will need to meet the above requirements and also show the lender that they have sufficient industry or business management experience. In our experience, it is very difficult for anyone other than the best borrowers (700+ credit score, high net worth, real estate with significant equity) to get approved for an SBA loan as a startup.

In addition to the credit requirements listed above, the SBA also has other eligibility requirements, including things such as:
• Be a small business as defined by the SBA
• Under 500 employees,
• Average annual revenue under $7.5 million (for past 3 years)
• Average net income under $5 million (after federal income taxes, excluding carry-over losses)
• Tangible net worth under $15 million
• Be a for-profit business with a location in the U.S. and operate primarily within the U.S.
• Use alternative financial resources, including personal assets, before seeking financial assistance
• Be able to demonstrate a need for the loan proceeds
• No defaults or bankruptcies on prior SBA loans
• Not delinquent on any existing debt obligations to the U.S. government (including taxes and student loans)

TYPES OF PROPERTIES

1. Real estate and equipment loans

2. Hotel / Motel

3. Restaurants

4. Apartments

5. Office buildings

6. Commercial buildings

7. Gas Stations

8. C Stores

9. Startup business

10. Self-Storage Facilities

11. Assisted living

12. Many others

How It Works

1. Pre-qualify for an SBA 7(a) Commercial Real Estate Loan

Pre-qualify- Simply provide basic information online and we’ll automatically tell you if you pre-qualify for an SBA commercial real estate loan from $350,000 to $5 million.

2. Provide Financial Information

Provide financial information about your business and its owners. Your dedicated Loan Manager can help with any questions.

3. Accept Your Letter of Intent

You will receive a non-binding letter of intent (LOI) outlining details of the SBA commercial real estate loan so you can negotiate terms with the property seller or your existing lender.

4. Conduct Property Valuation (Appraisal)

During the SBA commercial real estate application process, the property you’re interested in will be valued. Your dedicated Loan Manager helps facilitate this step.

5. Get Funded

Upload requested documents to complete your application. We'll work with you through the loan closing process. Funds can be wired for closing in as fast as 30 days after credit approval.

Hours

Monday9:00AM - 6:00PM
Tuesday9:00AM - 6:00PM
Wednesday9:00AM - 6:00PM
Thursday9:00AM - 6:00PM
Friday9:00AM - 6:00PM
Saturday12:00PM - 5:00PM
SundayCLOSED

CONTACT US NOW FOR INFORMATION