SBA Small Business Loans
Pinnacle Bank consistently ranks as one of the top banks in Northern California, especially when it comes to small business loans. As a Delegated Lending Authority for Small Business Administration (SBA) loans, Pinnacle Bank can expedite loan approval and processing to be sure you get the money you need to keep your business growing.
Pinnacle Bank’s experienced bankers will work closely with you to understand your vision—and then get the best loan to help you achieve it. Developing a real relationship with your banker can help take the pain out of the loan process. Your banker will work with you to find creative solutions and help your business grow the way you want it to grow.
TYPES OF SBA LOANS
Loans guaranteed by the SBA range from small to large and can be used for most business purposes, including long-term fixed assets and working capital. The two basic types of SBA loans are:
7(a) Loan Program:
This is the SBA's primary program to help small businesses obtain financing. 7(a) loans are the most common and most flexible type of loan. Money can be used for a variety of general business purposes, including:
Purchase or renovation of owner-occupied land and buildings
Machinery and equipment
Furniture and fixtures
7(a) loan maturity is up to 10 years for working capital and generally up to 25 years for fixed assets.
CDC/504 Loan Program:
This program provides businesses with long-term, fixed-rate financing for major assets, such as land and owner-occupied commercial real estate. Funds from a 504 loan can be used to:
Purchase existing buildings, land, or machinery
Construct or renovate facilities
504 loans cannot be used for working capital or inventory. Under the 504 program, a business qualifies if it has a tangible net worth of less than $15 million and an average net income of $5 million or less after federal income taxes for the two years before application. The maximum amount of a 504 loan is $5 million.