There are an increasing number of economic reports being released that discuss the important role small businesses are playing in the continued growth of the economy. These experts said small businesses are playing an important role in fueling the recovery the economy has experienced since the recession. This only seems fitting considering small businesses built the very fabric of the American economy and will also play a vital role.
There are a number of factors in motion behind the strength of small businesses around the country. One of the most important is the improved accessibility to capital these businesses have, especially when it comes to securing commercial mortgages. Real estate is one of the key components that contribute to a small business’ success, as the right location can often be the difference between success and failure.
Thanks to the federal government’s renewed interest in Small Business Administration (SBA) loan programs, these programs have emerged as one of the best and easiest ways for small business to secure commercial financing. Furthermore, the favorable terms offered by SBA loan programs help to lighten the financial burden so many businesses must deal with.
It is obvious SBA loan programs are working for small businesses. Thus far, 2015 has been a record breaker for the facilitation of SBA loans. In fact, the National Association of Realtors recently reported that SBA loans provided one in 10 of their Relator members with commercial mortgages in 2014. Another 12 percent of Realtors reported that they used the SBA for resources other than loans. Not only does this represent a commitment of the government toward aiding small businesses, but it also represents the commitment of NAR to educating their members to help their clients in taking advantage of SBA loan programs.
Lawrence Yun, chief economist for NAR, recently said at a national NAR conference that the SBA is playing an important role in facilitating liquidity in the marketplace. Yun also said the SBA has emerged as a vital conduit in connecting lenders with small businesses, as well as offering much-needed assistance when the credit market freezes due to economic downturns.
Not only is the SBA connecting more small businesses to the availability of capital, but they are also striving to make the lending process faster and easier. One of the ways the SBA is accomplishing this is through their LINC program, which is an online system that connects small businesses with lenders.
At K2 Commercial Finance, we specialize in helping our small business clients obtain the SBA loans that best fit their needs in the fastest amount of time possible. We fully understand the unique needs of the small business owner and have already helped tons of small business owners achieve their dreams. With so much momentum being seen with SBA loan programs, there is no better time to take advantage of them, especially since 2016 is looking poised to be another record-breaking year for SBA lending.