SBA Pre Qualification

August 30, 2023

by a searcher in Chicago, IL, USA

Hello, I am new to the searcher platform and have just recently found out about the SBA.

I would like to know how to pre qualify for an SBA loan. Is there a website which would allow me to do the pre qualification myself? Or do I need to contact a Bank?

Also, What does a pre qualification letter say and will it help me in any way?

Thank you

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Reply by a lender
from Bloomsburg University of Pennsylvania in Ambler, PA 19002, USA

Happy to have a conversation here. In short a prequalification is not as it is with a residential mortgage. Too many variables and entirely deal specific.. relatable skills that translate well for buyer/buyer group, sufficient equity/post transaction liquidity, market conditions for specific industry, etc. It would help at least speaking with a broker/lender about the typical SBA structures and how to navigate the process.. plus having a prequalification letter may show you have at least done some initial diligence and have had third parties review the buyers qualifications/pfs/credit/etc. Brokers and sellers may appreciate that extra step and optics make you look like a more qualified buyer on the front end. That all said, again it is really a big asterisk as it depends highly on the seller’s entity/financials and ability to show a lender that it is the right fit

Reply by a lender
from Eastern Illinois University in 900 E Diehl Rd, Naperville, IL 60563, USA

We would be happy to assist you with this. We do pre-qualifications for our clients all the time. You can go to a Bank as well, but there are two levels of pre-qualification. One, are you pre-qualified to buy a business in general, and secondly, are you pre-qualified for a specific business. Happy to talk through it. You can reach me here or directly at redacted

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