Loans backed by the SBA (“SBA loans”) provide many benefits to small businesses, including long repayment options with reasonable interest rates. They also help lenders by guaranteeing a portion of the loan. If the business can’t pay it back, much of the loan can be covered by the SBA. This allows banks and credit unions to offer loans that could otherwise be considered too risky.
Because there are so many benefits to an SBA loan, there are a lot of requirements that must be met by the business (and its owners) in order to qualify for a loan.
Here is a list of basic things you’ll need to qualify for a loan. Documentation of each of these items is very important. Because loans are offered by individual lenders, your bank or credit union may also have additional requirements to qualify. Your financial institution can give you a complete list of specific requirements.
For now, here is a list of the minimum necessary documentation for any SBA loan.