Dallas SBA loans are commercial debt instruments that provide businesses with funds for specific sets of purposes. These include, but are not limited to, things like working capital, real property acquisition, purchase of equipment, materials, and inventory, and for other reasons, such as expansion, or even disaster relief. Read on to learn more about Dallas SBA loans and the most important things you need to know.
Dallas SBA loans offer a variety of funding packages that enterprise operations can use, but it is important to note that although these debt instruments are backed or guaranteed by the federal government, the agency itself does not process the loans. Rather, loans are made through both national and regional banks and credit unions, and private lenders.
Generally, there are four types of SBA loans that are the most popular, because they suit the most common needs for businesses. For instance, the SBA 7a loan allows borrowers to acquire as much as $5 million in funding to expand their operations, buy machinery and equipment, and working capital.
Another very popular package is the SBA 504 loan, which also caps out at $5 million. Funds may be used to acquire vacant or unimproved property, purchase a business facility, or buy necessary equipment.
The SBA also offers microloans of up to $50,000 for various needs, including purchasing equipment or machinery, working capital, and startup money.
The SBA also provides disaster relief up to $2 million, for businesses negatively impacted by natural disasters. Applicants for this type of loan must meet certain requirements and use the funds for specific disaster recovery purposes.