Small Business Administration (SBA) Loans

US Small Business Administration 7(a) Loan

Product Description:

United Bank of Philadelphia provides financing assistance through the U S Small Business Administration (SBA) 7(a) Loan Program.

This most commonly used loan product is designed to help eligible small businesses obtain financing for a variety of business purposes under the guarantee of the SBA.

Major advantages of a SBA Loan

• Low down payment (as low as 10%)
• Flexible requirement on collateral
• Longer terms than most conventional loans (up to 25 years for owner-occupied commercial real estate acquisition)

Use of Funds

• Working capital
• Equipment and inventory purchases
• Leasehold improvements
• Business acquisition
• Commercial real estate acquisition
• Business debt refinancing

SBA Guarantee Percentages

• 85% guarantee for loans up to $150,000
• 75% guarantee for loans greater than $150,000

Term

The maximum loan maturities vary depending on the use of proceeds:

• Working capital—5 to 7 years
• Fixed asset acquisition—7 to 10 years
• Leasehold improvements—7 to 10 years
• Business acquisition—10 years
• Commercial real estate acquisition—up to 25 years

Interest Rate

Variable rate tied to the Prime Rate plus a margin.

Eligibility Requirements

• Business must meet the SBA size standards as to annual gross sales or number of employees
• Business must be a for-profit operation
• Business must be located in the United States

Download the United Bank of Philadelphia Financing Guide>>

Loan Resources

The SBA connects entrepreneurs with lenders and funding to help them plan, start and grow their business.
SBA

For over 50 years, SCORE has served as America's premier source of free, confidential business education and mentoring.
SCORE

The Temple University Small Business Development Center provides exceptional training opportunities for start-up and existing business owners.
Temple University Small Business Development Center

The NJ Small Business Development Center (NJSBDC) at Rutgers-Camden provides comprehensive consulting services and educational opportunities to Small Business owners and potential owners throughout the State of New Jersey.
NJ Small Business Development Center