Small Business Loan Information - Small Business Loans Are a Real Business BoonIf you want to start a business or keep a somewhat faltering business afloat, a small business loan may be just the business help that you need. You may want to seek out business management counselling firm on the internet to explore all of the options such as business debt consolidation or business debt settlement that are tools often used to deal with business debt that is rapidly becoming overwhelming. However, another option may to obtain a small business loan at a good rate, that will allow the payoff of other existing business debts that may be at a higher interest rate, or, worse yet, becoming delinquent.
There are many lenders who offer small business loans and lines of credit up to $175,000.00 to qualified businesses with good credit ratings. Another very strong small business loan lender is the U.S. Small Business Administration, which specializes in providing small business loans to stimulate the business community. This independent agency has been servicing the business community since 1953, and it is dedicated to stimulating business growth in America.
It offers a number of products that are designed to aid small businesses but the most frequently used is the loan guarantee, wherein the agency is not the actual lender but it offers a guarantee to the lender which enables the business to obtain the loan it needs. The SBA programs specifically try to aid woman and minority entrepreneurs in establishing businesses.
The SBA offers small business loans and also offers small business grants that are awarded in response to a grant proposal written by the small business operator. These products are awarded without a requirement for repayment. However, if the business does not qualify for one of these grants, there are plenty of small business loan packages that will fit the needs. To apply for a small business loan you will need to have E.I.N. or Employee Identification Number and a Certificate of Limited Partnership. You will need a copy of the business plan and you will need to list each and every existing creditor, in addition to the accounts receivable. For a small business loan you will have to demonstrate that the business is basically solvent and that the incoming cash flow is sufficient to repay to loan without tapping the business assets, For example, if your own the retail space in which the business is located, it cannot be sold in order to raise the necessary funds to repay the loan.
A small business loan may be an alternative to a form of debt consolidation or other debt management product. It can be used to pay off existing debts or at least pay down the debts to reduce the amount of interest owed and ultimately paid. However, taking out a small business loan will mean that the business is assuming a new debt. It will be to the benefit of any business person to confer with a debt management consultant prior to taking out a small business loan. Speaking with a trained business debt management consultant about the business debts can allow the business owner to put them into perspective. Additionally, the business debt consultant will be able to educate the business owner regarding the many various options to deal with business debt. This will make the individual aware of all of the options and in a good place to make an informed decision regarding taking out a small business loan or making use of any other business debt remedy.
Once all of the options are explored with a business debt management consultant, it may be that a small business loan is the best product to cure the existing business debt or to allow the business to grow.
Check these links to learn more:
http://www.curadebt.com/about.asp
http://www.curadebt.com/settlement/business-debt-negotiation/business-debt-settlement-negotiation.asp
