OUR PROGRAMS

SBA 7A LOAN GUARANTEE PROGRAM
Printable Brochure

Long-term financing for a wide variety of business needs

Do you have a profitable business with positive net worth, but need a loan with longer repayment terms than typically available from the commercial markets? How about a plan for a new business with solid potential and a similar need for long-term financing?

The 7a Loan Guarantee Program from the U.S. Small Business Administration was created to help meet those needs, and Business Carolina, Inc. has been a very active partner in this long-term financing program.

Business Carolina, Inc. makes loans of $150,000 to $2 million under the 7a program. The loans are partially guaranteed by the SBA, allowing repayment terms of up to 25 years, fully amortized.

Applying is simple: Existing businesses must provide one year of financial history and one year of projections. New businesses need to show a projected start-up balance sheet and three years of projected income statements.

The allowed uses of the capital are broad: land and building acquisition, renovation or expansion, or purchase of equipment. Lease-hold improvements, debt refinancing, and working capital can also be financed with 7a funds.

Generally, the assets of the businessí serve as collateral, but sometimes owners also must include a pledge of personal assets. Additionally, any owner with 20 percent or more interest in the business must be a personal guarantor.

Back to Overview