Small Business Loan

Your Quick Guide to SBA Loans

Small businesses are vital to the American economy. That’s why the Small Business Administration was established in 1953. Since then, the SBA has provided advice and financing to thousands of small firms. The Administration works with lenders like Aspen Capital Solutions to offer a wide range of funding options. Keep reading to learn how its small business loan programs can benefit your company.

Financing With the 7(a) and 504 Programs

The Administration funds land and equipment through both the 7(a) and 504 programs. Most types of equipment qualify, including medical diagnostic and treatment technologies, restaurant appliances, machine tools and heavy construction vehicles. Loans for land purchases are also available for many kinds of businesses from auto dealerships to veterinary practices.

There are a few key differences in how the 7(a) and 504 programs work. The former mostly funds business development needs such as furniture, fixtures, supplies and working capital. Conversely, 504 loans focus on fixed assets. New constructions and remodels may be eligible under the 504 program. Both come with some great benefits:

  • Loans of up to $5 million
  • Terms as long as 25 years
  • Up to 90% LTV funding
  • Fixed and variable interest rates
  • Full amortization
  • No prepayment penalties

Business Acquisition Loans

Small firms can grow in many ways. When purchasing another company is the next big step, a business acquisition loan can help. Most come with 15-year terms and offer up to 80% financing. They’re also amortized, with no ballooning and no penalties for early payoff. Eligibility requirements include a stable financial history and qualified management.

Let’s Discuss Your Business’s Needs

At Aspen Capital Solutions, we focus on helping small businesses obtain capital and resources. Our diverse menu of commercial finance products included SBA loans, commercial real estate financing, merchant cash advances and much more. Our certified financial specialists can explain your options, recommend solutions and aid you in applying for financing. Contact us today and put your business on the path to success.