The Small Business Administration (SBA) is a federal agency that helps established businesses grow and new businesses get started. SBA loans by Bank of America may help business qualify for financing more easily and receive more flexible terms, which means one can preserve working capital for other expenses.

SBA loans from Bank of America are for businesses that are:

• Owner-operated
• For profit
• Legally organized (for example, as a sole proprietorship, corporation, partnership or limited liability company)
• Within the size guidelines designated by the SBA
• Generally unable to receive conventional credit under reasonable terms

SBA Loan Types

SBA 504
Purchase equipment or real estate (no refinancing)
Construction and renovation

Benefits
Longer maturity than conventional loan
Lower down payments on fixed assets
Easier qualification than a conventional loan

Amount
$350,000 minimum, no maximum

Terms
Up to 2 years interim construction period
7-10 years on equipment
10-20 years on real estate

SBA 7(a)
Purchase or expand a business
Purchase equipment or inventory
Working capital
Refinance debt

Benefits
Longer maturity than conventional loan
Lower down payments on fixed assets
Easier qualification than a conventional loan

Amount
$350,000-$3.5 million

Terms
Up to 7 years for working capital
Up to 10 years for equipment or business acquisition
Up to 25 years for real estate

SBA Express
Working capital
Purchase equipment
Purchase vehicles or inventory

Benefits
Longer maturity than some conventional loans
Easier qualification than a conventional loan

Amount
$25,000-$350,000

Terms
7-year term with first-year revolving option and balance amortized across the remainder of the term