1What can the SBA Loan program be used for?
SBA Loan Program Usage
  • Purchase land & building
  • Land acquisition, along with building construction
  • Building expansion
  • Equipment
2What are the minimum and maximum project costs?
  • Minimum of $500,000
  • Maximum depending on overall loan structure
3What is the Maximum SBA loan amount?
  • Maximum SBA amount is $5,000,000
  • There is no maximum loan amount for the Bank financing, but the bank must finance a minimum of 50% of the project cost for 504. Loans
4How can the Bank loan be structured?
  • Amortization: 10 to 30 years for real estate, 7 to 10 years for equipment.
  • Term: Minimum of 10 years for real estate; minimum of 7 years for equipment.
5Can the subject property be owned personally and leased to the business?

Yes! In addition, the ownership in the real estate does not have to be the same as the ownership of the business, but a guarantee by the business and the property owners will be required.

6What about an Environmental Report?

An environmental questionnaire is required on all properties. A TSA is required on all properties, except bare land that has never been farmed. A phase I environmental report may be required if additional investigation is needed.

7What about an Appraisal Report?

The appraiser must be qualified to prepare a commercial real estate appraisal report. Submissions to SBA can be subject to receipt for an appraisal report. Complete appraisals are generally required. Bank staff appraisers must be pre-approved by SBA.

8Who can apply?

Anyone who owns or is starting a business in the State of New Jersey is eligible for financing, provided that they hold a valid residence and work permit, or if the business is at least 51% owned by a U.S. citizen—in which case the majority owner must also apply.

9What is the application process?
  • Submit a completed application (PDF) and all supporting documentation.
  • The loan officer will review your application and call to discuss your financial needs.
  • The loan officer will determine if your loan request should be presented to the loan committee for approval.
10What documents will I need to provide?
  • Three years of personal tax returns
  • Three years of business tax returns (for existing businesses)
  • Copy of draft lease (if applicable)
  • Evidence of owner's contribution to the project
  • Copy of operating agreement for all corporations, LLC & LLPs
  • Evidence that the business is current on all state and payroll taxes

In-Office Document Processing

Please note that the following items will be prepared and processed directly at our office by our dedicated team:

  • Completed and Signed Application
  • Business Plan for All Start-Ups
  • Financial Projections

Our staff is equipped to ensure that these critical components are handled with the utmost professionalism and accuracy. Should you require any assistance or additional information, please feel free to contact our office.

11What is required to secure a loan?
  • A completed and accurate application form
  • Submit a detailed, written business plan
  • Start-up entrepreneurs must have experience in the proposed business
  • The business owners must have a reasonable credit rating
  • The business must generate sufficient income to repay the loan
  • Owners must contribute at least 10% of the project financing
12How long does it take to be approved?

This is not a quick process, but we will try to make a determination on your loan request as soon as possible.

Once received, your application and business plan will be reviewed, and all facts must be verified.

13Do I need perfect credit?

Of course, good credit is better than bad credit. Your personal finances will be an integral factor in determining whether SBA can approve a loan for your small business.

You can request a copy of your own credit report by visiting:

14What type of businesses do we fund?
Financing is available to corporations, LLPs, and LLCs.
15How does a business qualify for a loan?
Is the business owner investing their own cash and assets into the business? Does the business owner have experience in the business they propose to start? Does the business owner have unresolved personal credit issues? You must have resolved or be in the process of resolving any and all personal credit problems.
16What are eligible issues of funds?
SBA finances equipment and inventory purchases and working capital, which can include advertising and marketing expenses, start-up bookkeeping, down payments, payroll services, and other miscellaneous business expenses.
17Is a business plan necessary to apply for a loan?
A business plan is required for all start-up ventures. You need a roadmap just as much as we need to see how you plan to operate the business and earn sufficient profit to repay the loan. Businesses that have been operating for at least 12 months must provide two years of sales projections and expenses.