Unless you've been living under a rock, you've probably noticed the world of finance has gone haywire. From housing to banking, the world disaster seems to be appropriate when discussing the current state of things.
If you need a loan for your business, this is a pretty tough market to be borrowing in. After the free wheeling days earlier this decade when banks would lend money to just about anyone, they have retrenched and now seemingly will not lend it to anything regardless of how valid the need and small the risk. Does this mean you are out of luck? No, you have alternatives when it comes to your business financing.
Sba Loan
The Small business Administration acts as a parent for many small businesses. Much like a parent will co-sign a child's first loan for a home or car, the Sba will do the same for your business. The original program is known as the Sba 7(A) Loan Program. If you qualify, the Sba will essentially certify the repayment of 75 percent of the loan to the bank should you fail to make the payments. This removes a large whole of the risk of a default from the equation and most banks will lend you the requested money so long as they are not about to fail, of course.
