Wrights Business Research

Part of the Small Business Administration (SBA, for its acronym in English) of the United States, was created in 1958 to fill the gap between the availability of venture capital and the needs of small business in the beginning of its activities and expansion of business situations. SBICs exist to supply equity capital, term loans and management assistance to small businesses that qualify. SBICs owned and operated privately, using their own capital and funds borrowed from the Small Business Administration (SBA, for its acronym in English) of the United States to provide financing to small businesses in the form of guarantee certificates equity and long-term loans. SBICs are for-profit organizations that select small businesses to be financed by the rules and regulations established by the SBA. Specialized SBICs (SSBIC, for short) are a particular type of SBIC that provide assistance solely to small businesses owned by socially or economically disadvantaged persons.

SBICs invest in a wide range of industries. Some SBICs seek out small businesses with new products or services because of the strong potential for growth of such firms. Some SBICs specialize in the area in which their management has special competency. However, most SBICs, consider a wide range of investment opportunities. Program “Short Term Loan (STLP) – Loan Guarantee Department of Transportation United States Small Traders. U.S. Treasury Department. UU. (DOT, for its acronym in English) guarantees up to $ 750,000 in loans to eligible small businesses, in collaboration with participating lenders. The loan guarantee provides a revolving credit line for transportation-related contracts. “Loans to Business Physical Disaster” – The Federal Agency of Small Business Administration (SBA, for its acronym in English) is responsible for providing timely and accessible financial assistance to nonprofit organizations and businesses of all sizes located in areas declared as disaster areas. This financial assistance is provided through low interest loans and long-term losses that are not fully covered by insurance or other recoveries.

The disaster loans from SBA are the primary form of federal assistance for the repair and reconstruction of disaster losses in the private sector, non-agricultural. The loan program for disaster is the only form of SBA assistance not limited to small businesses. Loans to Business Physical Disaster can offer a non-profit or business of any size to a maximum of $ 2 million (the actual loan amounts are based on the amount of uncompensated damage) to repair or replace property, machinery, equipment, facilities, inventory, and leasehold improvements. Also, disaster loans for repair or replacement of property or tenant improvements may be increased to a maximum of 20 percent of the total value of loss verified to protect the damaged property of any disaster of the same type which may occur in the future.

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