What is SBA Office of Disaster Assistance? SBA stands for Specialized Assistance for Business Lending. The Specialized Assistance for Business Loan (SBA) program was designed to provide business owners with an alternative to commercial mortgage insurance in the event that their company undergoes a temporary cash shortage. The Specialized Assistance for Business Loan (SBA) program consists of two parts: disaster insurance and loans. The loan's portion is not for all small businesses. There are specific loan requirements for new and small businesses.
How do I apply for SBA disaster insurance? Apply online by using your SSA number or Social Security number. Complete the SSA application, including loan information, and attach any necessary documents. Submit the appropriate form to your local SSA regional office.
Is my loan eligible for SBA loans? To be eligible for an SBA loan, your company must have been in operation for one year. If you have changed your company's name, it may affect your loan eligibility. Your lender will also want to know how long you've operated your business. Lenders also want to know your estimated monthly and annual earnings.
Can I get the money quickly? Loan repayments can be expedited if you submit all the necessary documents as early as possible. Be sure to submit all the necessary documents before the required deadline. Lenders will require proof of financial difficulties and hardship if you're trying to get a loan through this program. This financial hardship letter can be included with your SBA loan application or you can select a separate letter of financial hardship.
Are there any special loan rates? Some lenders may offer special loan rates for new and small businesses. Contact the lender directly to find out which rates they charge.
Is there a cost for the SBA Office of Disaster Assistance? The SBA does not pay for processing an application. They simply provide information and submit their documentation. Lenders are responsible for making sure the SBA paperwork is submitted in a timely manner. If you need more assistance, you can contact the SBA directly to find out what forms you need to complete and submit. The SBA is not responsible for any financial loss that occurs because of your filing.
What is the timeline for receiving financing? As soon as your company files for a loan, it begins the process of receiving an SBA loan. You must meet all the loan qualifications, including your credit score, loan to value, collateral, and more. If you're unable to meet these requirements after receiving approval, you should notify the lender right away that you need additional time to process the loan.
Is there a cost for hiring a loan officer? Typically, loan officers will charge about $40 per hour. If you apply for a loan today, you should receive an answer from the SBA in about one week. You can then begin contacting the lender to submit your documentation and to obtain a quote for the loan.