Business loans for women are offered in many forms the U. S. Small Business Administration (SBA) working with lenders who specialize in small business loans. The SBA usually does not make direct loans to your business. You will obtain a loan for your local bank or some other entity and the SBA will guarantee repayment of a certain percentage of the borrowed amount. The percentage of the loan that is guaranteed by the SBA usually ranges from 75% to 85% of the loan amount, depending upon the specific SBA program.
The SBA often works through Small Business Investment Companies (SBIC’s) in order to provide financing for your business. SBIC’s are private organizations usually located in metropolitan areas that are areas targeted for economic development. You will have to show how you business will benefit the community and create a specific number of jobs in that community. SBIC’s may provided funding for an established business. It may also provide equity financing for your start-up.
The SEED Program is designed to help unemployed workers to start businesses. You will be provided various types of business oriented training as well as access to funding for your business. This program may not be available in all states. You can contact your local state government to find out if this program is available to you.
The 7(a) Loan program is the SBA’s primary funding program for small businesses. The loan upper limit is $750,000. Since you probably won’t need this large amount, there is also the Low Documentation program (Low Doc) with an upper limit of $100,000.
If you require long-term fixed rate business financing in order to acquire fixed assets, such as buildings and land, the 504 Certified Development Program may be right for you.
The SBA also has a small business loan for smaller projects. This loan has an upper limit of $35,000. It is offered to small business and not-for-profit child-care centers. This is the SBA 7(m) MicroLoan Program.
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More Info go to Office of Women's Business Ownership (This is an outside website)