SBA loans are unlikely to be affected by the Trump administration’s federal funding freeze, based on guidance provided by the Office of Management and Budget (OMB).Despite the White House, on Jan. 29, rescinding a sweeping memo that called for a federal funding freeze, press secretary Karoline Leavitt clarified on X that while the memo has been revoked, the spending freeze itself is still in effect. On Monday, Jan. 27, the Trump Administration ordered a pause of federal grants, loans and other financial assistance programs. Federal agencies were instructed to review all of their spending programs to ensure they’re aligned with…

U.S. entrepreneurs formed a record 4.38 million new businesses in 2020, according to data from the Federal Reserve Bank of St. Louis.That total has been topped every year since, including in just the first 11 months of 2024.In the first years of the COVID-19 pandemic, urgent factors like job losses helped spur business formation. That motivation, along with the desire to increase one’s income, remains for some people. Others are searching for increased flexibility and autonomy, a 2024 NerdWallet survey found.If you want to increase your incomeAround 50% of entrepreneurs said they started businesses because they wanted to increase their…

NerdWallet evaluates business credit cards on more than a dozen factors, including annual fee, welcome bonus, rewards rate, bonus categories and ease of use. We also weigh perks like interest-free periods, discounts, elite status and lounge access. NerdWallet’s business relationships have no impact on our star ratings. We update individual card ratings in real time as card details such as perks, credits or sign-up bonuses change. Our editorial team also reviews our ratings factors annually, at a minimum, and adapts them as necessary to better reflect the evolving business and business card landscape. Notable changes to our methodology for 2025In…

Business debt consolidation loans combine multiple loans into one, and may result in lower payments and interest costs overall. If you have multiple small-business loans from different lenders, you may be a good candidate for business debt consolidation. 250+ small-business products reviewed and rated by our team of experts. 80+ years of combined experience covering small business and personal finance. 50+ categories of the best business loan selections.NerdWallet’s small-business loans content, including ratings, recommendations and reviews, is overseen by a team of writers and editors who specialize in business lending. Their work has appeared in The Associated Press, The Washington…

NerdWallet’s overall star ratings for small-business loans are weighted averages of ratings across six major categories:Underwriting and loan flexibility.We analyze and rate small-business loans based on six categories and 18 subcategories. Here’s how we weigh each category.Cost (33%)Small-business lenders that don’t charge an origination fee or prepayment penalty rank higher in this category.Transparency (19%)We review lenders’ websites and practices to determine if it’s possible for borrowers to reasonably assess whether the business loan is the right option for them, and how easy it would be to do so. This includes whether information like the loan’s rate, fees and terms are…

How do commercial real estate loans work?Commercial real estate loans work similarly to personal mortgages. They are structured as term loans to be repaid over a set period of time, with interest, and are usually secured by the property being financed.Balloon mortgages are real estate loans where the amortization term, the period of time it would take to fully pay off the loan amount plus interest, is longer than the repayment term. They are more commonly found in commercial real estate loans than consumer mortgages. Balloon loans essentially limit the amount of cash you need upfront to purchase a property,…

Pros and cons of working capital loansProsSuitable for cash flow gaps and seasonal slows.Flexible funds that can be used for a variety of purposesAccessible to a wide variety of businesses.ConsSome lenders may require daily or weekly payments.Lenders may charge interest as a factor rate — which can make it difficult to understand the cost of your financing.How to get a working capital loanThe general process for getting a working capital loan is similar to other loan types. You can follow these steps:1. Understand your financing needs. Working capital loans are typically used for short-term business needs. You should start by…

250+ small-business products reviewed and rated by our team of experts. 95+ years of combined experience covering small-business and personal finance. 50+ categories of best business loan selections.NerdWallet’s small-business loans content, including ratings, recommendations and reviews, is overseen by a team of writers and editors who specialize in business lending. Their work has appeared in The Associated Press, The Washington Post, MarketWatch, Nasdaq, Entrepreneur, ABC News, MSN and other national and local media outlets. Each writer and editor follows NerdWallet’s strict guidelines for editorial integrity to ensure accuracy and fairness in our coverage.A closer look at our top business lines…

It’s possible to refinance an existing small-business loan, or multiple loans, with an SBA 7(a) or 504 loan. You may even be able to refinance an SBA loan with another SBA loan.While refinancing with an SBA loan can be a savvy move, fees, prepayment penalties and a longer repayment period may eat away at potential savings.Did you know…Debt refinancing is sometimes confused with debt consolidation, but the two have slightly different meanings. Typically, the primary goal of refinancing a business loan is to save money by paying off existing debt using a new loan with more favorable terms. The goal…

A closer look at our top low-interest business loansBest for large funding amountsInterest rates range from 10.75% to 14.25%. If you’re looking for large loan amounts with affordable rates, SBA 7(a) loans can be a good option. These loans offer funding up to $5 million. In addition to low rates, 7(a) loans also have long repayment terms. You can use a 7(a) loan for working capital, equipment purchases, renovations and more.For-profit U.S. business.Unable to access credit on reasonable terms from nongovernment sources.Financial qualifications determined by individual lender.ProsLarge borrowing maximums.Interest rates are capped.Long repayment terms available.ConsCollateral is typically required.Longer processing times…