Need to borrow money for your IT support business? This article will help you learn what the U.S. Small Business Administration (SBA) is doing to help entrepreneurs.
Get Acquainted with Your Local U.S. SBA Resources
The first thing you should do is visit your local SBA office. There are approximately 900 locations throughout the United States. Meet with a counselor to help guide you to funding that’s right for you.
There’s no cost for the meetings and the SBA works with banks to guarantee loans for small businesses.
Remember the SBA does not actually loan out money. They will work with you to find the right bank for your financing.
Learn If the Small Loan Advantage 2.0 Program Is a Match for Your Needs
The SBA’s Small Loan Advantage 2.0 Program would work well for a small IT support business startup.
This program, which was launched in June 2012, helps to streamline the paperwork not only for the IT support business owner, but also for the banks.
With the help of the SBA’s Small Loan Advantage Program, banks can afford to make smaller loans. Keep in mind, a small loan is considered $100,000 or less.
Understand the Underlying Problem the SBA is Trying to Tackle
For banks, processing loans of $50,000 can cost just as much as loans for $1 million. Therefore banks are reluctant to work on smaller loans since they’ll make more money on bigger loans. The SBA is hoping this program will encourage banks to work with small businesses.
You can read more about how the SBA’s Small Loan Advantage 2.0 Program can help your IT support business here.
Check out this video where Karen Mills, who leads the U.S. Small Business Administration, discusses the new Small Loan Advantage 2.0 Program.
The Bottom Line
Have you ever worked with the U.S. Small Business Administration to get a loan for your IT support business? How have they helped you? Please share your thoughts in the Comments box below.
And to follow-through on the tips introduced in this short article, be sure to download your free copy of the special report on How to Start a Computer Consulting Business: 6 Proven Ways to Build Your Initial Client Base.
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Topics:- Computer Consulting Business