SBA 7(a) Loans in Minnesota: Rates, Requirements
Minnesota is a state located in the Midwestern United States. Minnesota was admitted as the 32nd state on May 11, 1858, created from the eastern half of the Minnesota Territory. The state has a large number of lakes, and is known as the "Land of 10,000 Lakes". Its official motto is L'Étoile du Nord (French: Star of the North).
The economy of Minnesota is strong and diversified. The state's gross domestic product (GDP) was $359 billion in 2017, up from $335 billion in 2016. The three largest sectors of the economy are health care and social assistance, retail trade, and manufacturing. Small businesses are a vital part of the state's economy, accounting for 98.2% of all businesses in the state.
Minnesota's population was 5,576,606 as of 2019. The median household income in 2017 was $65,599, and the per capita income was $33,251. The state's unemployment rate was 3.1% in 2018.
Comparing SBA Loan Types in Minnesota
When it comes to small business loans, the SBA 7(a), SBA 504, and SBA Express programs are some of the best options available. Boasting favorable terms and low rates, these financing vehicles can provide up to $5 million for your business plans.
SBA 7(a) Loans specifically connects small business owners with lenders across the country who are prepared to offer the very best terms to support their businesses. If you're looking to buy commercial real estate or equipment, or if you need access to repair capital, SBA 7(a) loans should definitely be one of your top options.
Our experienced team will provide you with the very best terms from our network of lenders to ensure your business has what it needs to succeed. We offer this service completely free of charge.
Looking for more information about Minnesota? Read on below. Otherwise, click the button below, and we'll get right back to you with your free SBA 7(a) loan quote.
Small Business Loans Available in Minnesota
There are several options for small business loans in Minnesota. The Small Business Administration (SBA) offers several loan programs, including the 7a, 504, and Express programs, that can be used for a variety of purposes, such as working capital, equipment, and real estate. SBA loans are backed by the government and usually have lower interest rates and longer repayment terms than other types of loans.
1. SBA 7(a) Loans
The SBA 7(a) loan program is the Small Business Administration's most popular loan program. It can be used for a variety of different purposes, from working capital to equipment and even real estate. An SBA 7(a) loan's interest rate is generally lower than interest rates on conventional loans. Loan terms are also longer than most conventional loans, which keeps monthly debt service costs low. SBA 7(a) loans are capped at $5 million.
2. SBA 504 Loans
The SBA 504 program is aimed at businesses looking to acquire heavy equipment or fixed assets or for purchasing or developing real estate. Loan terms are typically up to 10 years for equipment purchases and 25 years for real estate, and interest rates are generally lower than most conventional financing options.
3. SBA Express Loans
SBA's Express Loan program are designed for speed: While loans max out at $500,000, the application turnaround time is just a few days. This convenience does not come for free, with interest rates generally higher — and repayment schedules typically shorter — than other SBA loan types, which increases the cost of debt service.
If you are interested in applying for a small business loan in Minnesota, we’ll match you with the best lender: Click here for a free quote.