SBA Loans for Small Businesses Offer Big Advantages Over Traditional Bank Loans
Md. Washington Minority Companies Association (MWMCA) was pleased to partner with First National Bank’s Small Business Finance Department for their recently held seminar entitled, “Understanding the Small Business Administration (SBA): Financing & More For Your Business,” at their beautiful Annapolis, Maryland branch office. According to Deric Mims, Vice President/Business Development Officer, the goal of the event was to educate small business owners on the various options small businesses can achieve financing under SBA guaranteed products.
During the event, representatives covered SBA financing products from A-Z including, but not limited to: 7(a), 504, and SBAExpress loan programs. These products can be used for start-ups, business acquisitions, partner buyouts, working capital, commercial real estate purchases, equipment, fixed assets, and more.
Mr. Mims stressed that the SBA product suite offers several advantages that traditional banks normally cannot offer such as: lower down payments, longer terms, fully amortized loans (no calls or balloon payments), no loan covenants, multiple uses of proceeds in one loan, and loans don’t have to be fully secured.
First National Bank’s approach to qualifying small businesses is to underwrite a loan request with the bank’s traditional or conventional means alongside the SBA’s general lending criteria. If an approval is granted, First National Bank will offer both loan types for the small business to decide which one is best for them.
Wayne R. Frazier, Sr., president of MWMCA said, “I left with a positive opinion of First National Bank, and in all my years of partnering with commercial banks, I have never encountered a bank that provides alternative means of financing a transaction. First National Bank is truly the first and I recommend our small and deserving minority, women, and veteran owned businesses to contact the representatives from First National Bank.”
Deric Mims
Vice President, Business Development Officer
First National Bank Small Business Finance
7475 Wisconsin Avenue, Suite 700
Bethesda, MD 20814
Phone: 301-373-0931
James Aryee
Market Manager- ARUNDEL/MONTGOMERY/HOWARD COUNTY MARKETS
First National Bank
10840 Little Patuxent Parkway, Ste 100
Columbia, MD 21044
Phone: (443) 873-3488
Cell Phone: 301- 310- 8924
