Forums
New posts
Search forums
What's new
New posts
New media
New media comments
Latest activity
Classifieds
Media
New media
New comments
Search media
Log in
Register
What's New?
Search
Search
Search titles only
By:
New posts
Search forums
Menu
Log in
Register
Navigation
Install the app
Install
More Options
Advertise with us
Contact Us
Close Menu
JavaScript is disabled. For a better experience, please enable JavaScript in your browser before proceeding.
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an
alternative browser
.
Forums
The Water Cooler
General Discussion
Who all has gotten a small business loan?
Search titles only
By:
Reply to Thread
This site may earn a commission from merchant affiliate links, including eBay, Amazon, and others.
Message
<blockquote data-quote="soonersfan" data-source="post: 1588796" data-attributes="member: 9063"><p>JB, I think you are referring to an SBA 504 loan. I assume you were going to run a business out of the building because they are not intended for investment property. 504 loans generally have prepayment penalties but they will allow you to lock the rate for 5 years typically and rates are low now. In five years when you have to adjust, who knows? 504s can also be done on a 20 yr. amm. Banks like these loans because they have the first mortgage. If the business goes south and the assets have to be sold, the bank gets their money before the .gov.</p><p></p><p>The 7a is another SBA loan. These loans are made totally by the bank but receive a 75% to 90% guarantee by the government. They are generally on no more than a 10 yr amm. There is also more flexibility on what these loans can be used for but still no investment property.</p><p></p><p>The downside to both loans is there are some fees involved, they will take a lien out on every asset you already own and the process for getting approved can be long and painful. If you can find another alternative with a good rate, take it. However, sba loans are meant for small businesses with no history or that can be viewed as risky. Without the backing of the sba, banks would never make these kinds of loans at reasonable rates. You can learn more about them by searching the web. Last I checked Bancfirst was the number 1 sba lender in the state but there are a bunch of banks out there who make these loans. They are a really good deal for the bank (and the borrower if the business survives).</p></blockquote><p></p>
[QUOTE="soonersfan, post: 1588796, member: 9063"] JB, I think you are referring to an SBA 504 loan. I assume you were going to run a business out of the building because they are not intended for investment property. 504 loans generally have prepayment penalties but they will allow you to lock the rate for 5 years typically and rates are low now. In five years when you have to adjust, who knows? 504s can also be done on a 20 yr. amm. Banks like these loans because they have the first mortgage. If the business goes south and the assets have to be sold, the bank gets their money before the .gov. The 7a is another SBA loan. These loans are made totally by the bank but receive a 75% to 90% guarantee by the government. They are generally on no more than a 10 yr amm. There is also more flexibility on what these loans can be used for but still no investment property. The downside to both loans is there are some fees involved, they will take a lien out on every asset you already own and the process for getting approved can be long and painful. If you can find another alternative with a good rate, take it. However, sba loans are meant for small businesses with no history or that can be viewed as risky. Without the backing of the sba, banks would never make these kinds of loans at reasonable rates. You can learn more about them by searching the web. Last I checked Bancfirst was the number 1 sba lender in the state but there are a bunch of banks out there who make these loans. They are a really good deal for the bank (and the borrower if the business survives). [/QUOTE]
Insert Quotes…
Verification
Post Reply
Forums
The Water Cooler
General Discussion
Who all has gotten a small business loan?
Search titles only
By:
Top
Bottom