Start with the purpose of the funds
The SBA’s official loans overview is the best starting point because program rules, limits and procedures can change. Do not rely on a third-party advertisement as your only source.
SBA 7(a) loan program
The 7(a) program is the SBA’s primary business loan program. Permitted uses can include several business purposes, subject to current program rules and lender underwriting. The lender evaluates the application, documents eligibility and determines whether it will extend credit.
SBA 504 loan program
The 504 program is designed for long-term, fixed-rate financing for eligible major fixed assets. It is not a general-purpose working-capital product. Transactions commonly involve a Certified Development Company and a third-party lender under the program structure.
The correct program depends on the use of proceeds, business type, project, owner information and current rules. A product name in an advertisement does not establish eligibility.
An SBA guaranty is not an approval promise
The SBA guarantee supports the participating lender under program terms; it does not eliminate underwriting or guarantee that a particular business will be approved. The lender may review credit, repayment ability, business history, management, collateral when applicable and the proposed use of funds.
Expect a separate application made directly with a verified participating lender or appropriate program participant. Premium Capital Solution’s preliminary funding request is not an SBA application and is not transmitted to the SBA.
Verify the organization and the person contacting you
- Ask for the organization’s full legal name, website, physical address and main telephone number.
- Navigate to the official website independently instead of relying only on a message link.
- Call the published main number and confirm that the person works for the organization.
- Ask whether the person is a lender employee, a loan packager, a referral source or another third party.
- Request a written explanation of fees and which entity receives each fee.
- Never pay someone solely because they claim guaranteed SBA approval or special government access.
Government logos, seals or agency names should not be used to create a false impression of affiliation. A legitimate third party should clearly explain its independent role and should not imply that it controls SBA or lender decisions.
Documents a lender may request
Requirements vary by program, lender and transaction. Common categories can include:
- business formation and ownership records;
- business and personal tax information;
- historical and interim financial statements;
- debt schedules and existing lien information;
- business bank statements;
- a detailed use-of-proceeds plan;
- purchase agreements, equipment quotes or real-estate information when relevant;
- owner resumes, projections or a business plan in some cases.
Send sensitive records only after verifying the lender and its secure submission method. Do not send bank passwords, one-time security codes or identity records to this website.
Questions to ask before applying
| Topic | Question |
|---|---|
| Program | Which SBA program is being considered, and why does the proposed use fit? |
| Lender | What legal entity will make the loan and service it? |
| Cost | What interest, SBA guaranty-related, packaging, closing and third-party fees may apply? |
| Timing | Which documents and third-party steps control the expected process? |
| Collateral | What business or personal collateral and guarantees are required? |
| Prepayment | Do any prepayment terms apply under the program or agreement? |
| Decline | If the request is declined, which alternatives—if any—will be discussed and by whom? |
Ask for written answers when possible. Compare multiple verified lenders on complete terms and service, not only an advertised rate. A provider that pressures you to misstate revenue, ownership, use of proceeds or existing debt should not receive your application.
Keep official information current
SBA rules and program details can change. Recheck the linked SBA pages at the time you are ready to apply. For legal, tax or accounting questions about a transaction, consult qualified professionals who can review the current rules and your specific facts.