In this episode of The Daily Windup, I expose the hard truth about financing in government contracting—why banks lend only to those who don’t need money and how the wrong SBA loan can trap you for years. We unpack a real story of a contractor who borrowed $800,000 under a 10-year SBA loan only to find it blocked her from getting new funding for awarded contracts. I also share how the SBA’s EIDL loans differ, why subordination matters, and the top five things you need to know about Encore Funding—a company that truly understands the business of federal contractors.

Key Takeaways:

• $800,000 SBA loans can backfire if you grow faster than your repayment schedule.

• EIDL loans can be subordinated—traditional SBA loans can’t, and that can limit your funding.

• Encore Funding specializes in helping contractors with flexible working capital when banks won’t.