Faq’s

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Frequently asked question

Why would I engage a broker / advisor / intermediary instead of “shopping” the loan myself to various lenders?

You can certainly shop the loan yourself. However, because of the nuanced nature of SBA lending, you would most likely benefit from having a partner and advocate who has done hundreds of these loans and understands what it takes to apply, underwrite, process and close a loan.

How is The SBA Shop compensated for its services?

In most cases, we are paid by the lender though a referral fee when the loan closes and funds. In cases where we work with a lender that does not pay a referral fee, the client will pay us.

How long does it take to obtain an SBA loan?

Typically 45-60 days. Timing depends on the complexity of the transaction; whether real estate is involved; and how quickly the borrower provides financial information and responds to questions. Part of our value proposition is to help compress this time by knowing how to navigate the loan process.

What is the interest rate?

It can vary based on the type of loan, loan term, strength of borrower, etc. SBA publishes rate guidance, and each lender sets its rates based on that. Contact us for a specific rate quote on your loan.

Do I have to personally guarantee the loan?

Anyone with 20% or more ownership in the borrowing entity and/or collateral is required to personally guarantee an SBA loan. Spousal ownership is considered in the aggregate.

Faq’s

Frequently asked question

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