Debt2Assets

Working of a small business administration agency

The interest rates under these programs range from 2.25 to 4.75 per cent based on the size and the period of maturity of the loan. Further the interest rates can be negotiated both by the lender and the borrower. On submission of a Small Businesss Loans application it thoroughly reviews it by way of the participating small business lender. On acceptance of the lender for funding the business loan amount, it issues a SBA guaranty and forwards a copy of the business loan application along with the complete review report. On perusal of the SBA approval the lender disburses the funds to the owner and closes the business loan application. It lacks the balloon payments or the processing fee that can prove to be quite a burden.