The SBA 7(a) loan is perfect if you’ve already started building your business but need extra funding. SBA 7(a) loans are flexible in that you can use them to purchase land or equipment, pay for materials to create a product, or even compensate employees. However, you will need to meet the program’s requirements, including: showing that you’ve already spent your own funds on your business, that you are a for-profit small business, and that your desired funding amount is $5 million or less.
Keep in mind that SBA 7(a) loans can only be used for business purposes. Therefore, you won’t be able to consolidate personal debt with an SBA 7(a) loan.
If you need a lump sum of cash and the flexibility to spend it multiple ways, a traditional business loan could help. The key is finding a lender that can provide the funds you need when you need them.
At BHG Financial, we provide business loans from $20,000 to $250,000 in as few as 3 days.* And you don’t need to currently own a business, provide a business plan, or submit pro forma to get approved.
When you apply for a business loan, you have the opportunity to define your needs, allowing your lender to work with you on the best solution for your situation. See for yourself by calling our team today.
If you decide to move forward with a loan from another lender, the funding process will typically take longer to complete. In this case, if you’re looking to buy a business or property fast, a bridge loan may be an intermediate solution. The types of business opportunities that can be financed with a bridge loan vary based on the lender.
Bridge loans are short-term loans, with the typical repayment period being one year. The upside is you may be able to get the money you need quickly, while the downsides are the higher interest rates and a quicker repayment period than other funding options.
For example, in comparison to a bridge loan, our business loans have repayment periods all the way out to 12 years,* giving our customers ample time to pay down their loan with affordably low monthly payments.
Acquisition loans are designed to help you acquire assets. An asset for business opportunities could be another company (like a marketing firm to supplement your own operations), a building or space where you want to set up an office, or other strategic assets.
But what if you’re acquiring assets that will be used for business and personal purposes? For example, if you’re planning to buy a building to open a restaurant (business) and to house your family in an apartment above it (personal), this is a mixed use of funds. Therefore, you likely won’t be approved for business-type funding for this purchase.
Now that you know about the various business opportunity funding options, do you want to see how affordable your monthly payment could be? Visit our Payment Estimator page to estimate your payment in as few as 30 seconds
*Terms subject to credit approval upon completion of application. Loan sizes and interest rates vary and are determined by applicant’s credit profile. Call for complete program details. For California residents: Consumer and commercial loans are made or arranged pursuant to the California Financing Law, License No. 603-G493.