The US Small Business Administration Program Community Benefit Loan is designed for new and existing businesses that require loans under $ 250,000. Loans can be used to finance startup companies or expand existing small businesses or buy real estate. The SBA guarantees an 85 percent loan of up to $ 150,000 and a 75 percent loan over $ 150,000.
Launched in 2011, the Community Advantage program aims to expand access to capital in underserved communities by enabling mission-focused, mission-focused financial institutions - including Certified Development Companies - to offer these loans to small businesses. Larger credit access can help spur firms to grow and work, giving an economic boost.
SBA designates special lenders throughout the United States to offer Community Advantage loans. The first six lenders selected for this program are: CDC Small Business Finance, California; Cen-Tex CDC, Texas; Progress Fund in Greensburg, Pennsylvania; East Maine Development Corporation, Maine; Community Development Institute of the Idaho-Nevada Community, Idaho; Kentucky Highlands Investment Corporation, Kentucky. Thirty-four other lenders have been approved.
Video Community Advantage Loan
Loan Size and Terms
- Maximum Loan Size: $ 250,000
- Requirements: 7-10 years for working capital, inventory, business acquisition, tenant repairs, and startup costs
- Requirements: 25 years for real estate
- Interest Rate: up to Prime 6%
- No payment penalty in advance
Maps Community Advantage Loan
Feasibility
There are specific eligibility criteria for Community Advantage loans, which include credit history, cash flow, and industry experience. Designated Community Ownership Owners can help small business owners determine if they can qualify by reviewing the eligibility forms.
References
Source of the article : Wikipedia
0 Comments