SBA ARC Loans' Weak First Month

The SBA ARC Loan Program is off to a difficult start. While there are loans getting approved, there are major challenges for a number of reasons:

• Applicants must meet a number of qualification and eligibility rules, including meeting the standard of "viable", as well as having business debt that qualifies for this new loan to apply against it.
• Finding a Lender because so many are not participating and those that are participating have their own set  of policies; There is no consistancy amongst those lenders involved.
• Very poor dissemination of accurate information from the SBA and no universal list of participating lenders

The SBA loan program is meant to help viable small businesses survive "immediate financial hardship." So far, it seems inadequate for the scope of the problem. - BusinessWeek

This article describes a couple applicants' experiences with the loan and talks about the issues facing this program. Also quoted was SBA Administrator Mill's positive outlook for this program.

About the author: Neal Gordon of Business Borrowers Alliance. Business Borrowers Alliance provides guidance and assistance to applicants seeking the SBA ARC Loan. We have posted a  free video slideshow describing the basic eligibility and qualification rules on our website.