The US Small Business Administration or SBA which was founded nearly 60 years ago has an excellent history of providing millions of loan guarantees, and other assistance programs to small businesses across the United States. The SBA delivers four programmatic functions. The agency provides business financing or access to business capital. This financing program ranges from micro lending to large venture capitals. The agency also handles entrepreneurial development in terms of education, information, technical assistance, and training. This skills transfer and information sharing function covers individualized face-to-face sessions to online consultation and counseling to low-cost training programs for small business entrepreneurs in more than 1,800 locations across the United States and in US territories.
The US Small Business Administration also administers the federal procurement service or government contracting service. This is in line with what is enclosed in Section 15(g) of the Small Business Act. The SBA’s Office of Government Contracting is mandated to collaborate with other federal departments and agencies in order to meet the statutory goal of granting to small businesses 23% of the entire US prime contract funds. Services in this regard extend to training assistance, subcontracting procurement opportunities, as well as other identified outreach programs. Needless to say, the SBA is the legitimate and legal voice of small businesses across the country. The agency is the center of the sector’s advocacy. This is a clear programmatic function of the SBA.
Government grants for small business in the US, through the SBA and in service of the various needs of small business owners, come in programs such as technical, financial, contracting, education and disaster assistance, advocacy, and civil rights compliance. For financial assistance, the SBA helps business owner’s research and source out loan programs, opportunities for export financing, as well as pertinent and timely information about Small Business Investment Companies (SBICs).
The agency is also the small business owner’s valuable partner in the area of counseling and training, two vital components of successful entrepreneurship. Guidance in starting up the business and eventually running it is provided by the SBA’s Office of Entrepreneurial Development that assists the business in its efforts to start, grow, and ensure competitiveness in international markets.
US Government grants for small business in the United States come in various loan programs that serve to help finance business owners, in support of their most fitting business model. Any small business entrepreneur can apply for evaluation and qualification to these loan programs.
These loan programs or government grants for small business include the Micro Loan Program that delivers small, short-term loans to small business entrepreneurs, as well as to not-for-profit child-care centers. To specifically help start-up businesses and already existing small business ventures avail of more financing to grow the business, there is the 7(a) Loan Program that is particularly recommended for businesses that cannot otherwise avail of loans via normal lending sources. The CDC/504 loan program, a long-term and fixed-rate financing scheme, is earmarked for the economic upgrade of communities where small businesses are located. There, too, are the Guaranteed Loan Programs or Debt Financing where banks and other lending institutions utilize loan programs that the SBA guarantees in order to assist small businesses.