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…

  • CapeMOGuy@alien.topBEnglish
    1·
    1 year ago

    I think some in this thread aren’t aware why SBA-guaranteed business loans (not disaster loans) were created. SBA lending’s purpose is not to back loans to save lenders money by subsidizing lower rates. SBA’s purpose is backing loans made “at the margin” to small businesses that would not otherwise be able to get loans from banks. SBA’s mandate is to help more businesses get business loans. SBA backed loans are riskier and therefore will carry higher rates.