Small Business Loans for Veterans

Small business loans for veterans are available. In fact, there are many programs that veterans can turn to in order to guarantee that they get the money needed to fund or expand their business ventures. Of course, the process for applying for and receiving money is extensive. It is important to realize that small business loans for veterans are available but only after the application process is completed in a satisfactory manner.

Do You Qualify?

The question of whether you qualify for small business loans for veterans is pretty cut and dry. If you were active duty in any military branch, you are eligible. Along with this, National Guard member and reservists also qualify for these types of small business loans. With some loans, current spouses are also eligible; the same holds true for widows and widowers.

Being honorably discharged improves your chance of acceptance. An "other than honorable discharge" is a middle ground in which you are not deserving of an honorable discharge, but a dishonorable discharge is too harsh. In this case, you will have to fill out additional paperwork along with your loan application. Finally, a dishonorable discharge will greatly hamper your ability to receive a small business loan for veterans.

Patriot Express Pilot Loan Initiative

The SBA is responsible for creating the Patriot Express Pilot Loan Initiative. This type of loan is perfect for new businesses, and up to $500k is available for those who qualify.

The SBA works with a network of lenders nationwide to ensure that the program is open to veterans throughout the country. One of the main benefits of the Patriot Express Pilot Loan Initiative is its turnaround time-it is among the fastest of all loan programs.

In addition to its usefulness in starting a new business, a Patriot Express loan can be used for expansion, working capital, equipment, inventory and real estate. 

Also, this type of loan features the lowest interest rate. Generally, the rate falls between 2.25 and 4.75 percent, over prime, depending on the term and amount. Those who are interested in a Patriot Express loan should contact their local SBA office for a list of lenders in their area.

Microloan Program

The Microloan program is very popular among veterans. This type of small business loan has a lot to offer, although it is not nearly as large as a Patriot Express loan. A Microloan can be had for up to $35k and is to be used for newly established or start-up companies. The loans associated with this program are arranged through small nonprofit community lenders. These institutions make the loans available to eligible veterans.

One benefit of the Microloan program is that the entire process is completed locally. You can start by speaking with your local SBA office. That office can provide you with information on lenders in your area that participate. At that point, you can work directly with the lender to determine your eligibility as a veteran and to complete the application process.

There are many small business loan programs for veterans. This helps to ensure that those who have served the country have the ability to start their own businesses, if they so desire. The Patriot Express Pilot Loan Initiative and Microloan programs both have a lot to offer and have helped thousands of veterans reach their business-related goals.

blog comments powered by Disqus