The 7 (a) Loan Guaranty Program can satisfy the requirements of almost any new or growing small business. In addition to general long- and short-term 7(a) loans, we offer a number of specialized loan and lender delivery programs:

- CAPLines - Short-term lending for short-term needs;

- Export Working Capital and International Trade Loans - Short- and long-term financing for exporters;

- DELTA - Loans to fund defense conversion;

- Prequalified Loans for Minorities and Women - Loan packaging support and the SBA's commitment before going to a lender;

- LowDoc - A one-page application with fast turnaround;

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- FA$TRAK - Increased Tender authority to provide an SBA guaranty on small loans - no extra paperwork, no waiting for SBA approval; and

- The Certified and Preferred Lenders Program - Faster service through licensed lenders.

The 7(m) MicroLoan Program makes very small loans to small businesses.

The 504 Certified Development Company Program enables lenders to make larger, long-term loans to small businesses through the use of SBA-guaranteed debentures. Under the Small Business Investment Company Program, venture capitalists licensed by the SBA make capital to small businesses through investments or loans.

The Surety Bond Program guarantees bonds for small contractors.

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LENDING PROGRAMS
The SBA provides financial assistance in the form of loan guaranties, rather than direct loans. The SBA does not provide grants to start or expand a business.

7(a) Loan Guaranty
This is the SBA's primary business loan program. Under 7(a), the SBA guarantees loans to small businesses that cannot obtain financing on reasonable terms through other channels. This program generally is used to meet the varied short and long term needs of small businesses. Lenders, not the SBA, approve and service the loans and request SBA guaranties. The guaranties reduce risk to the lenders, expanding their ability to make small business loans.

Loan proceeds from the 7(a) Program may be used for business start-ups, expansion, equipment purchases, working capital, inventory or real-estate acquisition. Generally, the SBA can guarantee up to $750,000 of a private-sector loan; as much as 80 percent on loans of $100,000 or less and 75 percent on loans of more than $100,000. The interest rate may not exceed 2.75 percent over the prime lending rate except for loans under $50,000 where the rates may be slightly higher. Maturities can extend to 10 years for working capital and 25 years for fixed assets. For further information on the 7(a) Program, contact your local SBA office.

There are a number of loan programs under the 7(a) Program that address specific needs:

Low Documentation Loan (LowDoc) For small business loans of $100,000 or less, LowDoc features a one-page SBA application, cutting the paperwork burden for both small businesses and lending institutions. Once the applicant has satisfied the lender's requirements, the lender and applicant together complete the SBA's one-page guaranty application. If approved, the SBA guarantees up to 80 percent of the loan, with a quick turnaround to the lender.

Women's Prequalification Loan
This program enables the SBA to prequalify a loan guaranty for a woman business owner before she approaches a lender. The program focuses on an applicant's character, credit, experience and reliability rather than her collateral. An SBA-designated nonprofit intermediary, such as an SBDC, works with a woman business owner to review and strengthen her loan application. The review is based on key financial ratios, credit history, business history, and the proposed use of the proceeds. To find the SBA designated nonprofit intermediary nearest you, call your local SBA office. This is a pilot program available at a limited number of locations.

Minority Prequalification Loan
This pilot program is administered like the Women's Prequalification Loan (see above). However, this program is designed for qualified minority-owned companies and allows the use of for-profit intermediaries. Contact your local SBA office to find your nearest SBA-designated intermediary. This is a pilot program available at a limited number of locations.

CAPLines
CAPLines offers five types of loans to finance the short-term, cyclical working-capital needs of small businesses. Under this program, loan proceeds generally will be advanced against a borrower's existing or anticipated inventory and/or accounts receivable.

FA$TRAK
A new loan program, piloted with selected banks nationwide, FA$TTRAK provides additional incentive to lenders to make small business loans. Participating banks use their own documentation and procedures to approve, service and liquidate loans of up to $100,000. In return, the SBA guarantees up to 50 percent of each loan.

Export Working Capital Program (EWCP)
The EWCP provides short-term financing to small businesses for export-related transactions. Proceeds from the export sales are the primary source of repayment. Under the EWCP, the SBA guarantees up to 75 percent of a secured loan (80 percent on loans of $100,000 or less) or $750,000 whichever is less. Typically, maturities match a single transaction cycle with a term of up to 18 months or support a line of credit with a term of up to 12 months.

International Trade Loan (ITL)
This program provides short- and long-term financing to small businesses involved in exporting, as well as businesses adversely affected by import competition. The SBA can guarantee up to $1.25 million for a combination of fixed-asset financing and permanent working capital.

Defense Loan and Technical Assistance (DELTA)
The DELTA Program provides both financial and technical assistance to help defense-dependent small firms, adversely affected by defense cuts, diversify into the commercial market. Loans must be used to retain jobs of defense workers, create new jobs in impacted communities, or to modernize or expand in order to remain in the national technical and industrial base. Loans may be made under the 7(a) and/or 504 programs. The maximum loan amount under DELTA is $1.25 million. The SBA also leverages federal, state and private-sector resources to provide a full range of management and technical assistance.

7(m) MicroLoan
The MicroLoan Program provides short-term loans ranging from under $100 to $25,000 for small-scale financing purposes such as inventory supplies and working capital (but not to pay existing debts). Loans are made through over 100 SBA approved nonprofit groups, which also provide the counseling and educational assistance needed for success. Call your local SBA office to locate the nearest SBA-designated group. This is a pilot program available at a limited number of locations.

504 Certified Development Companies
The 504 Program provides long-term, fixed asset financing through certified development companies. These nonprofit organizations are sponsored by private interests or by state and local governments. The SBA can guarantee debentures covering as much as 40 percent of a 504 project, up to $1 million. DELTA funding is also available under this program.

Certified and Preferred Lenders
The most active and expert lenders qualify for the SBA's Certified and Preferred Lenders Program. Certified lenders receive a partial delegation of authority to approve loans. Preferred lenders enjoy full delegation of lending authority. A listing of participants in the Certified and Preferred Lenders Program is available through the SBA's field offices.