What is an SBA Loan?
An SBA (Small Business Administration) loan is designed to help small to medium sized businesses obtain financing that is otherwise not available through regular commercial means. SBA loans are basically long term in nature: 7 years for working capital; 8 to 9 years for equipment; 10 years for leasehold improvements and 20 years for real estate.
Benefits of Using Lone Star Bank
SBA Loans may require less equity than conventional products, allowing the business to retain cash for daily operations or to further expand the business. Lower equity requirements enable small businesses and professionals to invest in business assets sooner than would be otherwise possible.
Longer terms (up to 20 years) result in a lower monthly payment, also conserving cash for operations and growth. All SBA guaranteed loans are fully amortizing with NO balloon payments. Borrowers will not be subjected to the risk or cost of refinancing the loan at maturity.
Competitive interest rates are based on Wall Street Journal Prime. These rates adjust quarterly and will change based on economic conditions.
No prepayment penalties on loans with a maturity of less than 15 years.
What can SBA loans be used for?
An SBA loan can be used for a variety of purposes, such as:
Machinery & Equipment purchase
Inventory
Working Capital
Purchase of real estate
Leasehold Improvements
Consolidation of business debts
Start-up of a new business
Purchase of an existing business
Expansion of an existing business
Refinance seller debt
Construction
Renovation
Commercial vehicles
How much can I borrow?
Lone Star Banks loan amounts range from $100,000 to the maximum amount established by SBA from time to time.
Contact Lone Star Bank at 713-358-9400. We are happy to provide answers to your questions,
assist you with qualified guidance and get you started with Lone Star Bank's SBA Loan Application process.
The SBA Website is a reliable
resource for finding out the Small Business Administration.
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