If you’re a small business owner, you know that it can be challenging when you find yourself needing to pay for a large expense. Whether you’re looking to expand your business operations or you’re looking to purchase new machinery, you may be looking for financing options to help you afford these items. This is where Michigan SBA loans come in. These loans are specifically designed for small business owners, helping them get the money they need for their business needs. Here’s some more information about these loans to consider.
The Different Loans Offered
There are different types of Michigan SBA loans available. Each loan is designed to be used for a specific purpose. The two most common small business loans in the state of Michigan are the SBA 504 loan and the SBA 7(a) loan. The SBA 504 loan is designed to be used to purchase fixed assets. This may include real estate or equipment. The SBA 7(a) loan is designed for business acquisitions and business expansions. This loan has few restrictions and can be used in many different ways.
The Amount of Loans Available
Michigan SBA loans are available in a wide range of amounts. You can get a loan for a few thousand dollars or a few million dollars. According to Zippia, the average SBA loan is $417,316, and the maximum SBA loan amount in the state of Michigan is $5 million. However, there are many factors that are looked at when determining how much you may qualify for.
The Benefits of Working With an SBA Lending Partner
If you’re looking to obtain Michigan SBA loans, you can apply directly through a bank for a loan. However, many banks don’t understand the various types of loans and how to help you find the right one. A professional SBA lending partner can help you understand the different options available to you, what the lending requirements are, and which option may be ideal for your needs.
There are loans available that are specifically designed to be used for small business needs. Unfortunately, as a small business owner, you may find yourself unsure of how and where to find the money you need to expand your business, purchase equipment, and make other large expenditures. If you’re looking to learn more about Michigan SBA loans and which ones you may qualify for, reach out to MCDC today to get expert guidance.