re: SBA Loans and Grants

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Home Depot going through layoffs again?

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Leave this kind of stuff in the OT.

OP, you need to be more specific.

Some things to consider, SBA is a government program...It can be great, it can be terrible. Many of their loans are not the lowest you can get if you can secure private loans. All things being equal, an SBA loan will usually be more than a private loan. You need to understand that if you can't obtain a private loan then there is a good chance you shouldn't get a loan. Many government programs are there to "help" people but in reality allow them to do things that a private business is saying "doesn't make any sense". Therefore, the government loan can get you in a deeper hole with higher interest.

Private loans are difficult to acquire without some equity of your own (IE HELOC), equity involved in the loan ( IE purchase of real estate or a vehicle), or a long business financial history. If you have none of the 3, that's where an SBA loan comes in. Given that, the rates are going to be high with none of those 3. So you need to be damn confident in your numbers that you NEED the loan.

For example, if you are starting a new small company in sales and you need to rent an office space and need working capital. There's no equity or history, you may be able to obtain an SBA loan but its going to be incredibly high interest.