Small Business Administration

The Small Business Administration (SBA) offers numerous loan programs to assist small businesses. The SBA is primarily a guarantor of loans made by private institutions such as Citizens State Bank of Loyal. The SBA Program used at Citizens State Bank of Loyal is the Basic 7(a) Loan Guaranty. This particular loan program helps qualified small businesses obtain financing when they might not be eligible for business loans through normal lending channels. It is also the agency’s most flexible business loan program, since financing under this program can be used for a variety of general business purposes. Loan proceeds can be used for most sound business purposes including working capital, machinery, equipment, furniture and fixtures, land and buildings (including purchase, renovation and new construction), leasehold improvements, and debt refinancing (under special conditions). Loan maturity is up to 10 years for working capital and generally up to 25 years for fixed assets. This loan program is for start-up and existing small businesses and is delivered through commercial lending institutions.


For more information on SBA programs, call us or visit their website at www.sba.gov.