SIU Credit Union is here to help small-to-medium size business. Credit unions have established a relationship with the Small Business Administration (SBA) to expedite loans to credit-worthy small businesses. The SBA’s finance programs enhance the ability of credit unions to provide long- and short-term loans to small businesses that might not qualify through other lending channels.
SBA loans can only be used to finance the start-up, operation, or expansion of a business. You can’t use the funds to repay other debts, reinvest in financial instruments, or speculate in real estate, financial, commodity, or other markets.
To obtain an SBA loan, you must demonstrate the ability to repay the loan from the cash flow and profits of the business and meet other eligibility criteria.
The credit union makes all necessary arrangements to secure a loan with the SBA. Both fixed and variable interest rates are available for an SBA loan.
Borrowers should be prepared to pay closing costs on SBA loans, including all recording and packaging fees, title company and environmental reports, appraisals, and attorney fees. Total closing costs average between 3% and 5% of the loan amount.
SIU Credit Union may be able to help you with your business; visit our business services representative, Angela Williams-Barke today to see how SIU Credit Union Business Services products can help you. Call 618-457-3595 to schedule an appointment.