Programming For Success
SBA Loan Programming For Success
Author: Valerie Mellema
Date posted: 06.20.23

In today’s digital world, programming plays a part in nearly everything we do. The owner of a programming company on the West Coast was proud of all the help he was able to provide to other companies through his expertise and knowledge. His small staff had worked on projects in a variety of industries and it seemed the business would do well going into the future.

The Realization That Sparked Action

 

As the business grew, the owner began to think about how to improve things. He knew there were things he wanted to introduce at the office, such as a better break room and meeting rooms. He also wanted to update the building itself, as it was a bit dated. Having a more modern look would improve the reputation of the company among its clients.

 

Costs Associated with the Needed Changes

 

Before progressing further, he needed to ascertain the plan’s feasibility. To gather insights, he consulted with contacts from other local businesses. His initial task was to establish a budget for the project, and after considering his options, he settled on $300,000.

The next significant question revolved around how he could finance these improvements in a manner that guaranteed success. He was eager to implement these enhancements in his company but was also cautious about entering the process with excessive risk.

Programming For Success

Which Financing Is Best?

 

Armed with an understanding of the required financing amount, the next step was to identify a method for obtaining it. The owner was eager to dive into the process; however, they were aware that selecting the correct option was essential.

 

Following a discussion with a financial specialist, he made the decision to apply for an SBA 7a loan. It appeared to provide the desired benefits while avoiding certain drawbacks associated with other available solutions.

 

Benefits of an SBA 7a Loan

 

The SBA 7a loan boasts several advantages. Firstly, it offers term lengths of up to 10 years, which can significantly contribute to keeping monthly payments affordable. Additionally, funding is accessible within approximately 90 days for loans of up to $5,000,000.

 

These loans are exceptionally appealing and can be applied to virtually any business purpose. Furthermore, the SBA guarantees the majority of the loan, resulting in a lower interest rate compared to what could otherwise be anticipated. Although it does require more time for approval and funding, this proved to be a worthwhile trade-off for the business owner in this instance.

After the Loan

 

The SBA 7a loan enjoys high popularity because it provides numerous benefits to small business owners. In the case of the programming company, it enabled them to commence building upon their past success to achieve their goals. Currently, the company is thriving and actively considering future improvements and changes that may be necessary.

 

Programming For Success
About The Author | Valerie Mellema

Valerie has over 16 years of experience as a professional writer of blogs, eBooks, articles and press releases, with a focus on finance and alternative lending. Valerie resides with her family in Texas and is passionate about her horses.

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