Does anyone know of any federal loans that help small businesses? And how do I apply for these? Thank you!
by Aaron Kelly at Aaron Kelly Law
The Small Business Jobs Act of 2010, and the programs that were created by it, should be a good start. The purpose of the act is to extend loans that were first put into place by the American Recovery and Reinvestment Act of 2009. Among other things, the Recovery Act allowed the SBA to raise the government-backed guarantee on its 7(a) loans to 90% and it also allowed the SBA to waive its $1,000 packaging fee on both its 7(a) loans and its 504 loans. There was also an increase in the cap on microloans from 35k to 50k. The intent of the act was to help small businesses and entrepreneur’s but its effect remains to be seen.