New SBA rules allow lenders to approve larger loan amounts with fewer qualifications
CHICAGO, Oct. 4, 2023 /PRNewswire/ — Today, NEWITY, America’s source for small business capital, announces access to larger business loans through the U.S. Small Business Administration’s (SBA) update to their Standard Operating Procedures (SOP). NEWITY is proud to simplify and streamline access to small business financing for entrepreneurs through an SBA-licensed lender.
The SBA’s SOP updates enable lenders to approve larger loans for businesses who meet lower qualification standards, helping more small business owners access capital. The SBA 7(a) program changes that are live in NEWITY’s portal include:
- Larger loan amounts, enabling borrowers who qualified for a $25,000 loan to qualify for a loan up to $50,000
- No collateral requirements for loans under $50,000
- Lower credit scores accepted for loans between $50,001 to $150,000
- Relaxed rulings on affiliate businesses and ownership interests
- Easier to refinance and consolidate high interest rate debt
- Ability for qualifying businesses to receive a second SBA loan 90 days after the funding of their first SBA loan
Commenting on the SBA SOP updates, David Cody, NEWITY Co-Founder and Co-CEO said, “In pursuing the SBA’s mission to ‘help Americans start, grow and build resilient businesses’, the SBA 7(a) loan program is a financial lifeline for over 33 million small businesses. The SBA’s latest updates allow lender service providers like NEWITY to support a broader network of American businesses in accessing a greater amount of capital.”
While NEWITY’s portal has undergone changes to include the SBA’s updates, NEWITY’s streamlined application process has not changed. Small businesses can still determine their eligibility for an SBA 7(a) loan in less than 15 minutes without impacting their credit score.
Luke LaHaie, Co-Founder and Co-CEO of NEWITY added, “We’re thrilled to offer business owners access to larger loans. Likewise, we’re happy to enable lenders to provide larger loans to their clients through our nimble, compliant platform. We’re proud to help businesses secure more capital to fuel their success and growth.”
The SBA 7(a) application is available to qualifying businesses and accessible in the NEWITY Portal.
NEWITY is America’s source for small business capital, focused on empowering entrepreneurs with access to affordable loan solutions, streamlined tax credits, and trusted service providers – all in one place. NEWITY uses leading technology and real human support to help small businesses make their companies more efficient and profitable. Today, that includes equitable access to SBA 7(a) loans; streamlined processes to claim tax credits; simplified online bookkeeping with Xendoo; customized, competitive insurance with Mylo; personalized business advisory with Cultivate; and access to a marketing agency marketplace with Breef. To join NEWITY’s growing small business community, visit NEWITYmarket.com.
NEWITY is not a lender participating in the SBA’s 7(a) loan program; SBA 7(a) loans are ultimately processed and approved by a lender participating in the SBA’s 7(a) loan program.