What Credit Score Do I Need to Qualify for an SBA Loan?
What Credit Score Do I Need to Qualify for an SBA Loan?
SBA loans are considered among the best kinds of loans that are available to small businesses. It is the banks that issue SBA loans, but these are partially backed by the Small Business Administration.
Depending on the particular loan candidate and program, the administration can provide the highest capital, the lowest rates of interest, and the longest possible repayment periods on the market. Then again these are super desirable, meaning you will compete with many other small businesses for those great SBA terms. So, it is pretty hard to obtain an SBA loan.
Businesses having the most robust financial profiles are likelier to get one. In addition, while SBA aims to give opportunities to a lot of different kinds of business owners, and does not need a certain personal credit score, you would want to have as strong a profile as you can. While you can have a credit score of around 640 on the lower side, the remaining things in your application have to be stellar in order to qualify you for an SBA loan. Of course, having FICO credit more than 640 is only going to raise your chances here.
