The Small Business Administration (SBA) can be a great resource for financing your small business. While there are lots of well-known opportunities for funding, it is a good idea to keep an eye out for new programs and opportunities that might match your business needs. In addition, there may be fewer applicants for new programs, which can be beneficial when applying. Here are two new programs you may not be familiar with.
Express Bridge Loan (EBL) Pilot Program
This pilot program, available through the SBA, is designed to work with existing disaster loans by allowing certain lenders SBA guarantees to finance small businesses for emergency disaster-related needs. The maximum amount permitted through the program is $25,000. It is meant to provide support for businesses in the aftermath of President-declared disasters while they seek solutions for longer-term financing. There are limitations as to how financing can be used.
Community Advantage Pilot Program
This program is designed to provide affordable credit for organizations who would not qualify for traditional sources of financing. The program offers mission-based lenders guarantees of up to 85% on loans up to the amount of $250,000 when offering 7(a) loans to small businesses. This program requires businesses to operate in an underserved market and meet specific guidelines for the program as laid out by the SBA. The financing can be used for a wide range of uses for the organization once you have been approved.
Whether you are a new business in need of financing to get going or you are facing disaster recovery, these two programs can be highly beneficial for small businesses seeking financing through the SBA. Knowing what programs are available can help you align your needs with a program so that you can meet your business goals and objectives and continue to achieve success.