SBA Announces New Loan Initiative

As an extension to the current financial and technical assistance programs the Small Business Administration provides to the military, the SBA has introduced the Patriot Express Pilot Loan, an offshoot of its SBA Express Program. Loans are available up to $500,000 and qualify for the SBA's maximum guarantee of up to 85 percent for loans of $150,000 or less and up to 75 percent for loans over $150,000 up to $500,000. For loans above $350,000, lenders are required to take all available collateral. The Patriot Express Loan can be used for most business purposes, including start-up, expansion, equipment purchases, working capital, inventory or business-occupied real-estate purchases. Patriot Express Loans feature the SBA's interest rates, which are generally 2.25 percent to 4.75 percent over prime depending upon the size and maturity of the loan. Local SBA district offices will have a listing of Patriot Express lenders in their areas. The SBA Patriot Express is available to military community members including veterans, service-disabled veterans, active-duty service members participating in the military's Transition Assistance Program, reservists and National Guard members. Details on the initiative can be found at www.sba.gov/patriotexpress