Existing

Existing Business Loans

Please note that our minimum loan requirement is $250,000.

When an applicant already owns a business, loan proceeds can be used for the following purposes:

To purchase Real Estate;

The term for Real Estate loans will be 25 years.

	To purchase machinery and equipment;
	To purchase furniture and fixtures;
	For leasehold improvements on leased property;
	To consolidate debts or purchase another business;

The term for these loans will be 10 years, fully amortized.

	To purchase inventory; or
	To provide working capital.

These loans will have a 7 year term, fully amortized.

Blended Loan Term

What happens if a business needs a loan to purchase a building, install new equipment and needs some money for moving expenses? In that case the term will be blended. Let's look at the following example: A business is buying a building for $300,000, needs $100,000 for equipment, and needs $50,000 for moving expenses, i.e., working capital. In this case the $300,000 (two thirds of the full loan amount) will be at 25 years, blended with $100,000 at 10 years and $50,000 at 7 years for an actual $450,000 loan term of 19 years, fully amortized.

Obviously, if the business is very successful and the owner wants to pay off the principal balance earlier, he may do so. There is no prepayment penalty on SBA Loans.

Real Estate

Please go to our Real Estate section for a full discussion of terms and benefits. Then return here to fill out your qualification form.

Machinery and Equipment

With an SBA loan a business can finance 100% of the equipment cost (including installation costs) whereas equipment leasing companies do not cover any installation costs associated with the leased equipment, and very rarely if ever do leasing companies or commercial lenders provide a fully amortized loan over 10 years. Additionally, the SBA loan does not carry a pre-payment penalty. Be aware, however, that the SBA loan may require additional collateral such as a blanket lien on all business assets, or real estate collateral.

Debt Refinance

You can use SBA loan proceeds to refinance existing business debt under the following conditions:

	SBA requires proof that the original loan (which may since have been refinanced or renewed) and subsequent financing were used for a valid business purpose.
	The note has to be fully secured.
	We have to demonstrate a tangible business benefit from refinancing the existing debt.

Working Capital

There are two distinct types of working capital loans:

Conventional lines of credit, whether secured or unsecured, used for seasonal peaks and valleys, for increased sales with corresponding receivables, or for projects that are bigger or larger in scope than the business can handle with current cash flow. These working capital loans are normally paid back by the business through liquidation of assets, i.e., A/R, contracts completed and paid, etc., and are normally not handled by SBA loans.

Another type of working capital loan, which the SBA will consider, is the term loan used for business expansion. These are funds needed to finance additional inventory, a second location, a new line of products, additional personnel to provide services, etc. These loans are paid off through increased profits from the expansion activities.

Key Benefits

	Longer Terms Than Conventional Loans
	Fully Amortized Term
	No Prepayment Penalties
	No Balloon Payments

Application Form

Please fill out the following Application Form and submit to us. We will determine loan feasibility within 24 hours. If it looks good we will submit the request to our lenders and let you know within a week.

We suggest that you print this form prior to filling it out so that you can collect necessary information before you begin. We know this form is detailed, but this is the information necessary to determine your loan qualification, so please stick with it.

Important Note:

We share information submitted to us only with banks we represent and only in accordance with strict internal security standards, confidentiality polices and applicable laws. We do not share client information with other companies except in order to conduct our business, comply with applicable law, and to protect against fraud. For privacy and security reasons, we do not keep any information you submit to us tied to the Web. All such information is stored in our corporate computer files which are off line and only accessible to SBA e-loans personnel.

Note that you can <tab> from field to field.

Business Data

Applicant Borrower Name:
Applicant Business Name:

Type of Business
Is it a Franchise?	Yes No
Name of Franchise

How long have you owned this business?

years

Current Number of Employees

employees

How is the business organized?

Loan Request

Machinery and Equipment
Furniture & Fixtures
Inventory Purchase
Working Capital
Real Estate/Improvements
Business Debt Repayment
Real Estate Debt Repayment
(less) Your Cash Injection
(less) Other Available Financing
Total Loan Amount Requested

Real Estate (Fill out only If loan request includes Real Estate/Improvements)

Property Size and Business Use (indicate total square footage after any addition):

Please indicate property size in sq.ft.
Please indicate business use in sq.ft.

Purchase of Existing Property Details

Property Purchase Price
Any Improvement Costs
Any Addition Costs

Construction of New Property Details

Land Cost
Construction Cost

Real Estate Refinance Details

Property Acquisition Date
Property Cost
Current Loan Balance
Interest Rate (e.g. 11.50)
Due Date
Montly Payments
Was the Property already refinanced?	yes no

If yes, please give details below:

Were any funds from current refinancing used for any other purpose than the property itself?

yes no

If yes, please give details below:

Collateral

Do you have collateral to offer?

Yes No

Please Describe:

Can you offer Real Estate collateral?

Yes No

Please provide details, including any equity:

Lease