As a government body, the Small Business Administration works to help small businesses get the funding they need for things like expansion, resolving debts, renovation and other tasks that independent businesses might struggle with, especially in unforeseen circumstances like the Covid-19 pandemic.
Although they don’t offer up the funds to do this, they do work with many different lenders across the US, backing up to 85% of the amount in order to prevent as much risk for banks or other alternative lenders.
Being such a prestigious and reputable provider of finance, the SBA will only work with and help you secure funding from their list of pre-approved lenders. These are known as Preferred Lenders and each one will have official documentation as well as carry the SBA’s logo so you know they are legitimate.
You can use their SBA Lender Match service in order to connect with a potential lender offering funding; simply fill in the quick five minute questionnaire and receive a list of potential matches in just two short days.
You may also be interested in working with one of the SBA’s intermediary lenders, who offer microloans to small businesses. Use their state lookup tool here to find out which ones you’re eligible for where you’re located.
As an example of the kinds of businesses you’ll be looking to lend from, the top one hundred most active lenders for the SBA 7(a) program - their most popular loan - in the financial year of 2021 (up until June 30th) are as follows:
