SBA Loan Programs

SBA Loan Programs

SBA 7(a) Program:

Business Acquisitions: 80% LTV@ Prime + 2.25-2.75%

(3+ years in business) for 10 years (no balloon)

Commercial Real Estate: 85% to 90% LTV @ Prime+2.00-2.25%

(Purchase & Construction) for 25 years (no balloon)

(51% Owner-Occupied) 3 year pre-payment penalty (declining)

Hotels/Motels: 85% to 90% LTV @ Prime+1.75-2.75%

for 25 years (no balloon)

3 year pre-payment penalty (declining)

Business Expansion, 85% to 90% LTV @ Prime+2.00-2.75%

Dental/Medical Practices, for 10 years (no balloon)

& Heavy Equipment:

* Seller may provide required 10% equity injection, if the seller is willing to

place the note on FULL STAND BY (interest payments only), in which case the

LTV would be 90%.

*Loan amount may not exceed $2million (SBA guarantee limit $1.5million),

seller may provide a seller note for any amount exceeding the loan limit.

SBA 504 Program:

51% Owner-occupied Commercial Real Estate & Major Equipment

(50-40-10 general/multi purpose & 50-35-15 special use/hotels)

Commercial Real Estate: 85% to 90% LTV (35-40% from SBA FIXED for 20 years, and 50% from Bank FIXED for 5 or 10

years with a 25 year amortization)

10 year pre-payment penalty (declining)

Major/Heavy Equipment: Up to 100% LTV fixed for 10 – 15 years

*Loan amounts up to $4million for manufacturing facilities, up to $2million for

all other properties (SBA guarantee is the same as the 7a program $1.5million)

* The 504 Program does NOT allow REFI’S – Purchases ONLY

All SBA Loans Require the following:

* Minimum Credit Score 640+ (no bankruptcy for 7 years, no unpaid collections)

* Life Insurance may be required for borrowers/guarantors

* We offer the 80-10-10 Program (10% Seller Note)

-Cash (at least 10% equity injection)

-Credit Score (640+)

-Character (see Form 912 in application)

-Capability (related industry experience/provide resume)

-Collateral (willing to pledge personal assets, if required and available)