Are you thinking of starting a business? Everyone has to face a lot of hardships when it comes to starting a business. The biggest hurdle in starting your own venture is acquiring a loan. Let’s face it, for an average person, getting a loan is easy. It is because all they have to do is meet all the requirements and have the required documents. One of the most important things the lenders focus on is the credit history.
The veterans, however, have a challenging time getting a business loan. This is because they have a gap in their credit history. So, how are veterans supposed to start their own business? Don’t worry, there is good news, the Small Business Administration (SBA) offers various programs for the veterans that will help get a business loan.
The VA Business loan is the best solution for veterans to get the funds needed for their business. This article highlights all you need to know about VA business loans.
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What is VA Business Loan?
The VA business loan is available for veteran entrepreneurs through various sources. The main purpose of this loan is to help the veterans to grow their business. Since they are deployed to different places, they don’t have the capital needed for expanding their business. This is why it is difficult for them to hire new employees or open a new store. With the help of a VA business loan, they can get the funds to make their business more successful.
The VA loans are also provided to the spouse of a military personnel. The VA loan is are available from SBA; Veterans Administration (VA) has nothing to do with it. There is an office of SBA that oversees the business loans to the veterans. An important thing to keep in mind is that these are not provided as grants. VA Business loans are just like standard loans and come with an interest rate.
Types of VA Business Loans
There are different types of VA business loans.
- SBA Express Loan
- SBA 7(a) Loan
- Military Reservist Economic Injury Disaster Loan (MREIDL)
Can I use A VA Loan to Start A Business?
Yes, the VA business loan is offered to the veterans, so they can adjust to their civilian life. You can get SBA 7(a) loan for various business purposes. For instance, you can use the loan to add working capital to your business. You can even use it to cover the start-up cost of a business. It can be even used for buying a real estate for your business or even equipment. Hence, you can use VA business loans for starting a business.
In the end, adjusting to the civilian life after many years of service is daunting and challenging. The veterans have a difficult time acquiring loans. To help them succeed and start a business, VA business loans are provided by SBA. If you need any help acquiring VA loan, we are here to help you. Get in touch with our customer support service for more details.