Solo Startup

Micro Loans for Small Businesses

Posted on 07. Nov, 2008 by Rick Tuttle in Getting Started

If you need small-scale financing for your small businesses or technical assistance for your startup or business expansion, you may be able to get up to $35,000 through short-term loans of public money. These “microloans” are administered through responsible nonprofit groups that are selected and approved by the Small Business Administration (SBA) which loans the money to the nonprofit organization which then administers direct loans to small businesses after pooling the funds with local money.

Microloans are administered similar to a line of credit and are intended for the purchase of machinery and equipment, furniture and fixtures, inventory, supplies and working capital. Maximum maturity for one of these loans is six years. The loan cannot be used for paying debt.

Find out more about the Microloan program and other opportunities for financing your small business at the SBA web site.