If you’re considering purchasing a business or certain types of Real Estate and just curious about financing options, you won't want to miss this informative chat.

Today, we're looking into the world of SBA lending with Ross Creager from U.S. Bank, who brings a wealth of knowledge as an SBA lender. We unpack the essentials of what SBA loans are, how they function, and why they’re a go-to option for many businesses looking to buy or expand.

Ross lays out the three key ingredients needed to secure an SBA loan: the business's ability to pay for the loan, the owner's experience, and the required equity injection.

We also discuss the various types of businesses that can benefit from SBA financing, including self-storage facilities and car washes, and how the process has evolved, especially in light of recent changes.

Takeaways:

• Ross Creager explains the basics of SBA lending, emphasizing that the SBA guarantees a significant portion of loans to help businesses secure financing.
• Ross highlights the three key ingredients for securing an SBA loan: the business's ability to pay, the owner's experience, and the necessary equity injection.
• The conversation sheds light on the different types of SBA loans available, such as the 7A and 504, which cater to various business needs and structures.
• You'll learn that SBA loans typically require a 10% equity injection, meaning the buyer needs to contribute a portion of the purchase price upfront.
• Ross discusses the importance of a solid business plan in the SBA loan application process, stating that it should include financial projections and a clear management strategy.
• The episode also addresses common misconceptions about SBA loans, including their perceived complexity and the time it takes to secure funding, clarifying that recent changes have improved the process significantly.

The Do More Podcast

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