Veteran’s Advantage

Who is eligible?

  • Small businesses owned and controlled (51% or greater) by Veteran:
    • Veteran’s (other than dishonorably discharged)
    • Service Disable Veteran
    • Active-duty military participating in the Transition Assistance Program (TAP)
    • Reservists and National Guard member
    • Current spouse of any Veteran, Active Duty service member, any Reservist or National Guard member; or widowed spouse of service member who died while in service or of a service-connected disability.

Four ways for Veterans and their spouses to save:

  • 1. Express Loans $150,001 to $350,000 – PERMANENT
    • No upfront fee for loans for Veteran-owned small businesses.
    • Two page application and expedited approval. 50% guarantee.
    • 3% up-front guarantee fee is waived for Veteran borrowers only (listed above).
    • SBAExpress – https://www.sba.gov/content/sba-express
  • 2. Until 9/30/2017 – 7(a) loans $150,000 and under
    • No fees on loans for all borrowers.
    • Terms up to 10 years for equipment and up to 25 years for real estate. 85% SBA guarantee.
    • 7(a) Loan Program: https://www.sba.gov/7a-loan-program
    • Community Advantage Loan Program: https://www.sba.gov/content/community-advantage-loans
  • 3. Until 9/30/2017 – Non SBA Express Loans: upfront guaranty fee for loans to Veteran-owned small businesses for $150,001 up to and including $500,000 will be 50% less than the upfront guaranty fee for non-Veteran owned small businesses as follows:
    • a. For loans with a maturity in excess of 12 months, the fee will be 1.5% of the guaranteed portion; and
    • b. For loans with a maturity of 12 months or less, the fee will be 0.125% of the guaranteed portion.
  • 4. Until 9/30/2017 – Loans of $500,001 up to and including $5,000,000: upfront guaranty fees for 7(a) loans of $500,001 up to and including $5,000,000 made to Veteran-owned small businesses will depend on the loan amount and the maturity of the loan as follows:
    • a. For loans with a maturity that exceeds 12 months, the applicable guaranty fees are:
    • b. For loans of $500,001 to $700,000: 3% of the guaranteed portion;
    • c. For loans of $700,001 to $5,000,000: 3.5% of the guaranteed portion up to $1,000,000 plus 3.75% of the guaranteed portion over $1,000,000.

For more information, contact Himsl Consulting, LLC today.