Benefits of SBA-guaranteed loans.

Benefits of SBA-guaranteed loans Competitive terms: SBA-guaranteed loans generally have rates and fees that are comparable to non-guaranteed loans. Counseling and education: Some loans come with continued support to help you start and run your business. Unique benefits: Lower down payments, flexible overhead requirements, and no collateral needed for some loans. Stay safe Protect yourself from predatory lenders by looking for warning signs. Some lenders impose unfair and abusive terms on borrowers through deception and coercion. Watch out for interest rates that are significantly higher than competitors’ rates, or fees that are more than five percent of the loan value. Make sure the lender discloses the annual percentage rate and full payment schedule. A lender should never ask you to lie on paperwork or leave signature boxes blank. Don’t get pressured into taking a loan. Survey competing offers and consider speaking with a financial planner, accountant, or attorney before signing for your next loan.