Small Business Loans for Disaster Assistance

Small Business Loans for Disaster Assistance Name Institution Small Business Loans for Disaster Assistance U.S. Small Business Administration (SBA) offers SBA 7(a) loans. The SBA 7(a) loans are used for various purposes including working capital, refinancing a debt, purchasing a business, or real estate. These loans are suitable for any business purpose and their long repayment and low interest rates makes them appealing (The SBA, n.d.). There is also the CDC/SBA 504 loan. SBA provides loans under this program to small businesses hoping to purchase or build owner-occupied commercial real estate. Two lenders are brought together to fund such projects including a bank or traditional lender and the CDC (The SBA, n.d.). To qualify for a CDC/SBA, the business has to agree to occupy at least 51 percent of the commercial space and so this works within for-profit businesses. SBA CAPLines programs have four SBA loans to help small businesses achieve their short-term and cyclical operational capital needs. Small businesses that need revolving line of credit involving recurrent payments or catering for unexpected expenses benefit from this program. However, while SAB CAPLines can be given as stand-alone, they are often offered in combination with the convectional SBA 7(a) loan or the CDC/SBA 504 loan (The SBA,...