Golden Sun Funding helps small businesses access SBA 7(a) and 504 loans with competitive rates and flexible terms. From application to funding, our team works closely with you to navigate requirements and secure the capital you need to grow.
An SBA loan is a government-backed financing option designed to support small businesses. These loans offer longer repayment terms and lower rates than many conventional loans. The Small Business Administration (SBA) doesn't lend money directly but instead guarantees a portion of the loan, reducing risk for lenders and making financing more accessible to small businesses.
SBA loans are among the most sought-after forms of business financing because they combine competitive interest rates with flexible terms and lower down payment requirements. The government guarantee typically covers 70-90% of the loan amount, which encourages banks and other approved lenders to extend credit to businesses that might not otherwise qualify for traditional bank loans.
These loans can be used for a wide variety of business purposes, including working capital, equipment purchases, real estate acquisition, business expansion, debt consolidation, and even business acquisitions. The versatility and favorable terms make SBA loans an ideal financing solution for businesses at various stages of growth.
The Small Business Administration was created in 1953 with the mission to help small businesses start, grow, and succeed. The SBA loan guarantee program is one of the agency's most successful initiatives, having helped millions of small businesses access over $400 billion in financing since its inception.
When you apply for an SBA loan, you're actually applying for a bank loan that is partially guaranteed by the SBA. This guarantee reduces the lender's risk, which allows them to offer more favorable terms than they might otherwise provide. If a borrower defaults on an SBA loan, the SBA will reimburse the lender for the guaranteed portion of the loss.
This system creates a win-win situation: lenders can extend credit to businesses they might consider too risky under normal circumstances, while small businesses gain access to affordable financing that helps them grow and create jobs in their communities.
Lower Interest Rates
SBA loans typically offer rates 2-3% below conventional business loans due to the government guarantee
Extended Repayment Terms
Terms up to 25 years for real estate and 10 years for equipment, reducing monthly payment burden
Lower Down Payments
Down payments as low as 10% compared to 20-30% for conventional loans
No Prepayment Penalties
Pay off your loan early without additional fees, providing flexibility as your business grows
Real Estate Acquisition
Purchase business property, warehouses, or office buildings for owner-occupied use
Equipment & Machinery
Finance business equipment, vehicles, and technology needed for operations
Business Expansion
Fund new locations, facility improvements, or market expansion initiatives
Business Acquisition
Purchase existing businesses or buy out business partners
While SBA loans offer significant advantages, they do require more documentation and have a longer approval process than conventional business loans. Understanding the process can help you prepare and increase your chances of approval.
Gather financial statements, business plan, tax returns, and other required documentation. This phase typically takes 2-4 weeks.
Your lender reviews your application and submits it to the SBA for guarantee approval. This process usually takes 30-90 days.
Once approved, complete closing documents and receive your funds. This final step typically takes 2-3 weeks.
Navigating the SBA loan process can be complex, but with Golden Sun Funding as your partner, you'll have experienced professionals guiding you every step of the way. Our team has helped hundreds of businesses successfully secure SBA financing.
Our SBA specialists know the requirements and help you avoid common pitfalls
We streamline the application process to reduce approval times
Access to multiple SBA preferred lenders increases your approval odds
We only succeed when you do - no fees until your loan is approved
The Small Business Administration offers multiple loan programs, each designed to serve specific business needs and circumstances. Understanding these different programs helps ensure you choose the most appropriate financing option for your particular situation and business objectives.
The SBA 7(a) loan program is the agency's primary and most flexible loan program, accounting for approximately 70% of all SBA loan dollars. This program provides loans up to $5 million for a wide variety of business purposes, making it the go-to option for most small business financing needs.
The SBA 504 loan program is specifically designed for owner-occupied commercial real estate and major equipment purchases. This program uses a unique structure involving three parties: the borrower, a bank, and a Certified Development Company (CDC), creating highly favorable terms for long-term assets.
The SBA Microloan program provides loans up to $50,000 for small businesses and certain not-for-profit childcare centers. These loans are provided through specially designated intermediary lenders and are ideal for businesses that need smaller amounts of capital or have difficulty qualifying for traditional bank financing.
SBA loans play a crucial role in the American economy, supporting small businesses that are the backbone of economic growth and job creation. Understanding the broader impact of SBA lending helps contextualize why these programs receive government support and why they're structured to be more accessible than conventional financing.
Annual SBA Loan Volume
Supporting small businesses across America every year
Jobs Created Annually
Through SBA-supported business expansion and startups
Loan Performance Rate
Demonstrating the success of SBA loan recipients
Small businesses represent 99.9% of all U.S. businesses and employ nearly half of the private workforce. They generate approximately 44% of economic activity and are responsible for creating two out of every three new jobs. SBA loans help fuel this economic engine by providing access to capital that might otherwise be unavailable.
When small businesses have access to affordable financing, they can invest in equipment, hire employees, expand operations, and contribute to economic growth in their communities. The ripple effect of these investments extends far beyond the individual businesses, supporting suppliers, service providers, and local economies.
SBA loans support innovation by helping entrepreneurs bring new ideas to market and existing businesses adopt new technologies. Many of today's successful companies began with SBA financing, including FedEx, Nike, and Staples. This demonstrates the program's role in fostering entrepreneurship and innovation.
By reducing financial barriers to entry and growth, SBA loans encourage business formation and competition, which drives innovation and efficiency throughout the economy. This competitive environment ultimately benefits consumers through better products, services, and prices.
SBA loans have a particularly strong impact in underserved communities, rural areas, and among minority-owned and women-owned businesses. These programs help address credit gaps that might otherwise limit economic development in these important market segments.
Local businesses supported by SBA loans tend to source supplies locally, hire from the local workforce, and contribute to community tax bases. This creates a multiplier effect that strengthens entire communities and promotes more equitable economic development across different regions and demographics.
SBA loans serve businesses across virtually every industry, but some sectors utilize SBA financing more extensively due to their capital requirements, business models, or market characteristics. Understanding how different industries use SBA loans can help businesses identify relevant applications and structure their financing requests appropriately.
Restaurants are among the largest users of SBA loans due to high startup costs and equipment needs. SBA financing helps cover kitchen equipment, renovation costs, and working capital during the critical early months.
Retail businesses use SBA loans for inventory financing, store buildouts, and technology infrastructure. E-commerce businesses often need capital for inventory and fulfillment capabilities.
Construction companies frequently use SBA loans for equipment purchases, bonding capacity, and working capital to manage project cash flows and seasonal variations in business.
Medical practices and healthcare facilities use SBA loans to purchase expensive medical equipment, acquire practices, and finance facility improvements or expansions.
Manufacturers utilize SBA loans for production equipment, facility acquisition, and expansion projects. The long terms available make expensive machinery more affordable.
Professional service firms use SBA loans for practice acquisitions, office equipment, technology infrastructure, and working capital during business development phases.
Versatile funding for working capital, equipment, and more — the most flexible SBA loan program.
Ideal for fixed assets like real estate and large equipment purchases with low down payments.
Faster approval process for smaller amounts — get decisions more quickly.
Government backing allows lenders to offer competitive rates below market standards.
Extended repayment periods help keep monthly payments manageable for your business.
Reduce upfront costs with lower down payment requirements than conventional loans.
SBA guarantee reduces lender risk, making approval easier for qualified businesses.
Your business must operate in the United States and be organized for profit.
Business must qualify as "small" under SBA size standards for your industry.
Business owners must demonstrate personal investment in the business.
Clear business plan and demonstrated ability to repay the loan are essential.
Our streamlined SBA loan application process guides you from prequalification to funding with expert support every step of the way.
Start with our quick prequalification to determine your eligibility.
Submit financial statements, tax returns, and business documents.
Our experts handle the complex SBA approval process for you.
Get your SBA loan approved and access the capital you need.
Not sure if an SBA loan is right for you? We also offer working capital loan options, equipment financing, and term loan options to meet your specific business needs.
