Is the Small Business Administration, aka the SBA, doing enough to help small business owners weather the current economic storm? We're keeping track of the SBA website and news to find out. It's important, because small businesses provide the vast majority of jobs and drive a much greater part of the U.S. economy than large enterprises. SBA chief Karen Mills is pictured above.
The SBA website describes several
economic recovery initiatives, including new loan programs. One example is the
SBA ARC Loan Program, authorized by the 2009 Economic Recovery Act:
If your small business is stressed meeting expenses during these economic times, the U.S. Small Business Administration has a new loan program designed just for you.
SBA’s America’s Recovery Capital Loan Program can provide up to $35,000 in short-term relief for viable small businesses facing immediate financial hardship to help ride out the current uncertain economic times and return to profitability. Each small business is limited to one ARC loan.
ARC loans will be offered by some SBA lenders for as long as funding is available or until September 30, 2010, whichever comes first.
Here's how to apply and prepare for the application process via your lender:
Applying for an ARC Loan
ARC Loans are provided by commercial lenders and guaranteed by the SBA. Your next step is to contact your lender who will help you determine if you are a candidate for an ARC Loan. Questions they may ask include the following:
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Declining sales and revenues;
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Difficulty in making loan payments on existing debt;
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Difficulty in paying employees;
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Difficulty in purchasing materials, supplies, or inventory; and/or
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Difficulty in paying rent and/or other operating expenses
For more information to help you manage your small business, visit the
Business and Employment Legal Help Center.
Labels: economic recovery, lawyer, legal, sba, sba loan, small business, small business administration, small business loan
