The 7(a) program offers several different kinds of loans, not just for start-up companies but also for an existing business that wants to expand or refinance debt. Here's a list of the most common types of commercial loans available from the SBA. Check them out, then we'll show you how to apply:

• Working Capital 
• Term Loans 
• Equipment Loans 
• Real Estate Loans 
• Farm Loans 
• Microloans

Working Capital Loans

These loans are designed to help small businesses cover day-to-day expenses for 3 to 24 months. The SBA doesn't actually give out loans but acts as a guarantor so that you can get a business loan from another lender. This helps the business get the money it needs and gives lenders confidence that they will be repaid, making it easier than ever before for small businesses to apply for commercial financing. 

Matching Grants

These loans provide capital in the form of matching grants, which means you don't have to pay the money back if you use it for activities such as marketing your business or buying equipment.

Term Loans

These loans cover major purchases such as real estate, equipment, and vehicles for up to 10 years. The SBA guarantees a certain percentage of the business loan so that banks or other lenders are more likely to approve it. If you keep up with your payments, at the end of the term you can re-finance through another lender or ask the SBA to guarantee part of a new loan. 

Equipment Loans

Businesses need a lot of different types of equipment to operate successfully including vehicles, machinery, computers, and office furniture. 

Micro Loans

Micro Loans are available for businesses that have limited access to traditional capital markets because they lack collateral or their credit is not strong enough for a standard business loan from a bank.

CDC/504 Loans

CDC/504 loans are made through local lenders, including community development financial institutions (CDFIs) and banks. The SBA guarantees up to 50 percent of the loans, which makes it easier for small businesses to qualify for financing. 

Loans can be approved and given out in as little as 48 hours in some cases! All you have to do is find a lender that participates in one or several of these programs and apply online.

Once your application is submitted an SBA loan specialist will contact you within 24-48 hours with any questions they may have about your business. That's all there is to apply for an SBA Loan: just fill out the online application and get in touch with a specialist.

How to Apply

SBA Loan is a loan that can be applied for business purposes. It's more secured the business owner has enough collateral to back up their loan. SBA Loans are offered by banks and other financial institutions. Banks will only give out loans if they know you have some valuable assets so they can lend you money while people who have no assets have to apply for bad credit loans which are pretty hard to get. 

Here are the steps on how to apply for an SBA loan.

Step 1: Get All Your Documents Ready  

Most of the time, you will be asked by a bank to provide some items so they can check if you're eligible for an SBA Loan. This is one of the requirements and it's very important so you won't waste your time waiting for approval or worse, denied. Here are some documents that you need to have before applying:

• T-Mobile Bill (if there is any device on a contract)
• Personal Identification Documents
• Government Issued ID (Driver's license, Passport) o 
• Social Security Number
• Business License
• Company Roster

Step 2: Locate an SBA Certified Loan Officer

SBA has its own department that handles its clients. They have their own website where you can send your inquiries and you will be assisted by a loan officer. Here is a list of websites for their branches:

• San Diego, California - www.sba.gov/offices/sandiego
• Los Angeles, California - www.sba.gov/offices/losangeles

Step 3: Be Prepared for the Questions

You have to know that before applying, an SBA loan officer will ask you a couple of questions so they can estimate if your business is feasible. They don't want their clients to lose money because most of them only care about the numbers. Because of this, you need to be well aware that you will be asked questions and be prepared. Here are some of the usual ones:

• What's your business idea?
• How much money do you need?
• How long do you plan to run this business?
• Who is your competition in the industry?

If you have the proper documents and answer their questions well, your business is almost done. To get more information about this subject check out: http://www.sba.gov/content/how-get-loan 

Conclusion

The SBA offers a variety of loan programs to help small businesses get the financing they need to start or expand their business. The most common types of loans are working capital loans, term loans, equipment loans, and real estate loans. You can apply for an SBA loan online in just a few minutes by filling out an application and contacting a loan specialist.