There is a development that hasn’t been widely publicized but should grab the attention of every business owner: This is the best time to get an SBA business loan.
Here’s the bottom line: with the new stimulus bill, if you get a new 7(a) or 504 loan before September 30, 2021, then the first six months of principal and interests (up to $9,000 a month) will be forgiven.
There’s more: You don’t have to prove that you have been affected by the pandemic. Also, you can take advantage of this attractive benefit even if you previously received a Paycheck Protection Program (PPP) loan. The reason is that unlike PPP, this provision is geared not only toward relief but also toward economic development and job creation.
Now that you understand why this is the best time to get an SBA loan, let’s take a closer look at the 7(a) 504 loan programs, the two most important types of loans backed by the Small Business Administration.
7(a) Loans
This is the SBA’s most commonly used program for supporting small businesses. A 7(a) loan is usually the best option when real estate is part of a business purchase. But you can also use them in other ways, including:
- Short- and long- term working capital
- Refinancing current debt
- Purchase furniture, fixtures, and supplies
7 (a) loans are capped at $5 million, with maturities that range from 7 to 25 years depending on the purpose of the loan (real estate, equipment acquisition, working capital, etc.)
504 Loans
If you intend to purchase major fixed assets, a 504 loan is the best alternative for you. Some common uses for 504 loans include:
- Purchase commercial real estate
- Purchase existing buildings
- Acquire long-term machinery and equipment
- Modernize existing facilities
504 loans are capped at $5 million, with maturities ranging from 10 to 20 years.
Contact Gellyfish today and take advantage of this unprecedented opportunity. Our experts will be happy to answer your questions and guide you through the entire process.
Gellyfish: Certainty of Execution in SBA Loans
Looking for SBA loans in California, or anywhere in the United States? Gellyfish is here to help. We offer financing with the certainty of execution you need to take your business to the next level.
Contact us today by email (info@gellyfishcommercial.com), telephone (877-800-4493), or social media (Facebook, Twitter, LinkedIn), to schedule a free consultation or to learn more about our full range of financing options.
