SBA Loans

SBA loans are loans for small businesses backed by the U.S. Government’s Small Business Administration. These loans usually provide more favorable terms or more flexible underwriting criteria than conventional loans in order to promote the growth and development of small businesses.

An SBA 7(a) loan is a loan typically used for acquisition and working capital needs, but it can be used for real estate purchases, new construction, inventory, equipment, M&A, and buy-outs as well.

SBA loans are designed to provide more favorable terms and underwriting criteria for small businesses compared to conventional loans.

Requirements are different depending on which SBA loan you may be interested in, but in general, loans are available for for-profit, owner-occupied businesses that meet SBA size standards, do not qualify for conventional financing, and have invested equity. Contact one of our dedicated SBA lenders to walk through the options and determine if an SBA loan is best for your business.

To start the application process, you’ll need your personal identification documents and financial statement, your business plan, personal and business tax returns, YTD business financial statements, bank statements, collateral, and legal documents.

A Preferred SBA Lender, like Texas First Bank, is a lender that is authorized and approved to underwrite an SBA loan application instead of submitting it to the Small Business Administration for approval. This means your lender has the knowledge and experience to process SBA loans quicker and more efficiently, yet still backed by the confidence of the U.S. government.

Most SBA loans are approved within 30-90 days with several factors going into the timeline such as how long it takes you to collect documents, the type of loan (real estate and business purchases require additional third-party documents like appraisals), and whether or not you’re using an SBA Preferred Lender, like Texas First Bank.