
Location
131 East Main Street, Canton, GA 30114
By Andrew T. Smith
At some point over the life of a company, entrepreneurs will likely need to obtain financing in connection with the operations of their businesses. A business may need additional capital to replenish inventory, acquire machinery and equipment, cover wages for employees, or even make monthly rent payments to avoid an interruption in operations. When it comes to business financing, "SBA Loan" is a term that every business owner should be familiar with.
The United States Small Business Administration (the "SBA") is a federal agency that provides support to entrepreneurs and small businesses. The SBA mission is to help "Americans start, build, and grow businesses" and "aid, counsel, assist and protect the interest of small business concerns, to preserve competitive enterprise and to maintain and strengthen the overall economy."
An SBA Loan is not a loan directly from the SBA, but rather, the SBA helps small business owners secure loans by guaranteeing a portion of the amount borrowed, capping interest rates, and limiting fees. The SBA works with a network of approved banks that lend money to small businesses on better terms and conditions than other types of commercial loans. These loans are particularly attractive to lenders, as a portion of such loans are guaranteed by the SBA in the event that the borrower defaults.
Andrew T. Smith is an associate attorney with Flint, Connolly & Walker, LLP currently assisting clients in various corporate and real estate transactional matters. He is experienced in a range of legal issues affecting business owners and is knowledgeable in the various federal loan programs available to small businesses and nonprofits. Andrew is also NADCO-certified to handle SBA 504 loan closings.