Hey all, I have an SBA loan for a little over $500,000. My interest is 11.5% with 10 year terms. Majority of my $9,600 monthly payment is interest.
What can I do to lower my interest? I dont know how the government can possibly understand how a small business can survive with such high interests.
Does anyone know of any private lenders? Other banks that will exponentially decrease this?
I’m struggling and November was not a great month for us…
Nope, ours is prime +2%, and that is standard with 7(a) loans. I was also under the assumption the SBA was supposed to help small businesses, until we signed our loan docs and saw their terms. We had to take the deal as that was our only option to secure financing at the time. We’ve had zero support from them since, don’t even have a contact there that I could reach out to with questions.
I will say, they did help when we were shut down during Covid. After we’d been forced to close for over 3 months they stepped in and made our loan payments for the next 6 months (it was part of the CARES act). It got us through that year but they are definitely making all that money back right now with this ridiculously high interest rate that just keeps creeping up. So, all these small businesses they “saved” during the shutdown are now struggling to survive (if they haven’t already gone under) and its nothing but crickets from the SBA about it.