Community Advantage (CA) is a pilot loan program introduced by the SBA to meet the credit, management, and technical assistance needs of small businesses in underserved markets. This program provides businesses within these markets loans that are $250,000 or less.
25-Year: 6.283% | 25-Year REFI: 6.312% | 20-Year: 6.350% | 20-Year REFI: 6.380% | 10-Year: 6.459% | 10-Year REFI: 6.484% (as of November 2024)
Alternative Lending
Community Advantage Program
Building Success in Underserved Markets
Benefits
- Easier to get approved
- Lower monthly payments
- Fixed Rates
- No balloon payments
Why Use Community Advantage
Loan size is too small. Banks do not consider small loans, while the CA program considers loans from $50,000 to $250,000.
No collateral to secure the loan. Banks will decline loans due to lack of collateral, whereas the CA program does not require collateral.
Start up businesses that have no track record of financial performance.
Direct Lending Program
Funding You Can Count On!
The purpose of the Direct Lending Program is to provide small businesses with a source of gap financing otherwise not available through conventional lending sources. Loans will be made to 504 eligible recipients who are providing economic development in their community.
Eligible Projects/Loan Purpose
- Finance the acquisition of new equipment or real estate
- Finance permanent working capital for a growing business
- Refinance an existing loan from a private lender or other source of sub-prime financing
Eligible Businesses
- Any businesses eligible under the SBA 504 Loan Program requirements
Fees
- Borrower will be responsible for out-of-pocket closing costs to include, but not limited to origination fees, attorney fees, title insurance, recording fees, etc
Collateral
- The loan will be secured by acceptable collateral and have guarantees that they can be reasonably relied upon
Loan Amount
- Loans will range from $50,000 to $250,000
Interest Rate
- Fixed or variable are based upon credit risk
Response Time
- 5-10 days to receive commitment
