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Small Business Loan Options
By Adam Smith, Sat Dec 17th

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Confusion abounds in the small business loan world. You know youwant to start a small business but cannot figure out what kindof business loan you need. You have it narrowed down to a small businessloan of course, but even in the small business loan arenathere are a variety of different types of SBA loans. So whatkind of small business loan is right for you? Will a basic 7(a)fit your needs or do you need the 504 SBA loan? Or does yoursituation require a CAIP loan? Maybe a LowDoc SBA Loan is justwhat the doctor ordered.

To sort this mess out lets take a look at the various differentkinds of small business loans that are available to you so thatyou can decide which business loan will fit your needs.

SBA Microloan - For those in need of less that $25,000 tostart your business then looking at a SBA mircoloan is a goodplace to start. These loans are designed to help get businessesoff the ground or to help your business through a short downturnin profitability. It is also important to note that interestrates tend to be higher on this type of small business loan.

LowDoc - As you might expect the LowDoc small businessloan requires very little paperwork. In fact, the initialapplication for the LowDoc small business loan consists of justone page. You can apply for a loan up to $100,000. The LowDocloan is made on the basis of your character and personal creditso it can be helpful to those starting small businesses but lacka

business credit history.

Basic 7(a) SBA loan - This type of small business loancan range up to $750,000 and is backed by the SBA but isactually issued by commercial lenders. These SBA loans arenormally relatively easily to qualify since they are backed bythe Small Business Administration, a government entity.

504 SBA loan - A 504 SBA loan can beacquired up to $1 million. However, the loan cannot be used tofinance more than 40 percent of the business venture or project.This type of business loan is ideal for individuals who possessing strongassets and who can show the positive effect (in terms of jobscreated) your business will have on the community.

Community Adjustment and Investment Programs(CAIP) - Thisloan program was developed to help small businesses create morejobs or prevent potential job less. The hitch is that for yourapplication to be approved you must show that your business isin jeopardy as a result of trade changes in either Mexico orCanada.

As you can see there are a variety of different optionsavailable for you business loan needs. It is up to you to doyour homework and determine which small business loan is rightfor you. For more business advice and counsel visitAllBusiness.com

Adam Smith is an informational author for 10XMarketing. For more information on small business loans pleasevisit SNCLoans.com

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