SBA Patriot Express Loan Program

 Do you need quick approval of an unsecured loan for up to $50,000 for a business startup or for working capital for an existing business?  If you do, we can help you get it with no upfront fees and no initial payment until you are preapproved by our SBA-preferred lender and your loan payment will be included in the budget we model for you!

Other banks may not be lending now but we have an established relationship with an SBA-preferred lender bank who is lending.  There are basically two SBA requirements and if you meet these you have an excellent chance of getting the money you need:

·         Unblemished credit

·         Your business is not on the ineligible list

How are we different?  There are no upfront fees!  You get preapproved by the SBA lender before you pay us anything.  At that point, we only require a $250 deposit to get you through the remainder of the process, which includes:

• You complete the loan application, which can be downloaded from our website.
• The completed loan documents are returned to us via e-mail or fax (one of the documents does require a signature).
• Once the loan is approved, a commitment letter is issued and closing documents are sent.
• A signed commitment letter and closing documents are returned to the Community Express Loan division.
• Funding occurs after the Community Express Loan division receives the business plan, a requirement for funding, which we will prepare for you.  Prior to giving them your business plan, final payment of $500 is required. 
• Your funding is then released.

Eligible Potential Borrowers Include:

• Veterans (other than dishonorably discharged)
• Service-Disabled Veterans
• Active Duty Military service member participating in the military’s Transition Assistance Program (TAP), which is applicable to potential retirees within 24 months of separation and to discharging Active Duty members within 12 months of discharge
• Reservists and National Guard members
• Current spouse of any Veteran (other than dishonorably discharged), any Service-Disabled Veteran, any Active Duty Military member, or any Reservist or National Guard member; widowed spouse of a service member who died while in service; or widowed spouse of a veteran (other than dishonorably discharged) who died of a service-connected disability.

Loan Features:

• Loan is fully amortized with no access fees per transaction
• Automated process provides fast turn-around time

Ø     Loan amounts of $5,000 to $50,000

Ø     7 year term – Fully Amortized

Ø     Unsecured – no collateral required

Ø     Variable Interest Rate based on Wall Street Journal Prime, adjusted calendar quarterly:

·            Loans of $5,000 - $25,000 at Prime + 4.75%

·            Loans of $26,000 - $50,000 at Prime + 3.75%

Ø     $425 packaging fee – deducted from loan proceeds

Ø     SBA Guaranty fee of 2% of the guaranteed portion (85%) of the loan will be deducted from the loan proceeds

Ø     Loan payments automatically drafted from the business checking account at borrowers established financial institution

Ø     No prepayment penalty – 21 day payoff notification required

Ø     Technical Assistance Included – borrowers receive pre-and post loan closing management and technical assistance.

Eligibility Requirements:

• All SBA eligible industries considered
• Start-up businesses allowed
• Loan proceeds for business acquisition not allowed
• Working capital loans to businesses after acquisition has been fully completed are permitted
• Franchise must be on the SBA approved Franchise Registry (www.franchiseregistry.com)
• Liquid Assets of individual owner cannot exceed $100,000 – does not include IRA, 401K or other restricted accounts
• Utilizes Fair Isaac Small Business Credit Score System for pre-approval of credit, which evaluates credit history of applicant and industry data including type of business, length of operations, etc. Personal credit issues like past due accounts, collections, accounts settled for less than full balance, etc. have very negative effect on applicants business score and loan decision.

Ineligible Businesses:

• Not for profit business
• Investment Real Estate – apartments, rental housing or multi-tenant buildings
• Speculative Real Estate or Business Ventures
• Agricultural and farm businesses (growing crops or animals)
• Fishing and Shore operations
• Medical facilities (including nursing homes and assisted living facilities
• Mines (including sand and gravel pits)
• Applicants doing business in foreign countries
• Businesses engaged in teaching, instructing, counseling or indoctrinating religion or religious beliefs, whether in a religious or secular setting
• A business with any products or services of a sexual nature
• A business that is engaged in lending (with the exception of Mortgage Brokers)
• A business that is engaged in gambling
• A business that is engaged in pyramid sales and distribution
• A business that restricts patronage
• Consumer and marketing cooperatives
• A business engage in Lobbying activities (50%)
• Insurance companies
• SBA loan packagers
• A business or borrower that has a prior loss to the government

Loan Application Process:

• Application submitted by T/A Provider, Applicant, or Participating Bank Partner
• Upon initial credit review, processing checklist is issued to borrower and/or T/A Provider
• Commitment and closing documents are issued once all checklist items are received, reviewed and approved by underwriting (including business plan)
• Funding occurs after receipt and review of executed loan documents

Ready to get the preapproval process started?  Download the fill-in application here and return it to us when you have completed it:

Via fax to 970-434-2889