Loans 7(a)
The SBA's most common loan program, which includes financial aid for companies with special requirements.
What is a 7(a) loan?
The Loan Program 7(a), is the SBA's most common loan program, includes financial aid for small businesses with special requirements. This is the best option when real estate is part of the purchase of a business, but it can also be used to:
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Short- and long-term working capital
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Refinance the current commercial debt
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Buy furniture, accessories and supplies
The maximum amount of a 7(a) loan is $5 million. The key eligibility factors are based on what the business does to receive its income, its credit history and where the business operates. Your lender will help you determine which type of loan is best suited to your needs.
Am I eligible?
To be eligible for 7(a) loan assistance, businesses must:
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Trading for profit
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Be considered a small business, according to the definition of the SBA
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Be involved or propose to do business in the United States or its territories
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Have a reasonable invested capital
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Use alternative financial resources, including personal property, before requesting financial assistance
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Be able to demonstrate the need for a loan
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Use the funds for a solid business purpose
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Not to be overdue or in arrears in any of the existing debt obligations with the U.S. government. USA.
How do I use the 7(a) loan?
The basic uses of the 7(a) loan include:
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Long- and short-term working capital
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Rotating funds based on inventory value and existing accounts receivable
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The purchase of equipment, machinery, furniture, accessories, supplies or materials
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The purchase of real estate, including land and buildings
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The construction of a new building or the renovation of an existing building
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The establishment of a new business or aid for the acquisition, operation or expansion of an existing business
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The refinancing of the existing commercial debt, under certain conditions
What do I need to apply for it?
When you are ready to submit your application, you must gather the appropriate documents for your application. Start the process by working with Amerishop Financial following the guidelines of the SBA.
How do I pay for my 7(a) loan?
Loan repayment terms vary according to several factors.
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Most 7(a) loans are paid in monthly installments of capital and interest
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Payments remain the same for fixed-rate loans, because the interest rate is constant
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In the case of variable rate loans, the lender may require a different payment amount when the interest rate changes.
