Buying a Business? Here's What You Need to Know About SBA Loans in Arizona

, | September 28, 2022 | By

Buying a business can feel like a huge, overwhelming, “can-i-really-do-this” endeavor.

And it can be!

However, with the right resources and experts on your side, it can be more accessible than you think. Today, the experts at BNC National Bank will help demystify the process of buying a business in Arizona. 

Your first step? Getting the funding you need. 

Specifically, it’s time to learn more about Small Business Administration (SBA) loans, including how they work, how to secure one, and how to make the entire loan process as seamless as possible. 

Here’s the information about SBA loans that Arizona small business owners need to know! 


What are SBA loans for Arizona entrepreneurs? 

Let’s start with the fundamentals. 

An SBA loan is funding backed by the government, earmarked for supporting small businesses. These loans are issued by lenders (e.g., local community banks) in participation with the U.S. Small Business Administration

SBA loans can offer small business owners helpful perks, such as low-interest rates and flexible terms. However, they may also come with specific lending standards. 

To be a good candidate for an SBA loan, you’ll need to show your lender that you are (or will shortly be) profitable. In addition, they will want to see some indication of your credit standing, information about any debt you may have, and a solid business plan. 

If your finances are generally in good order, your plans are in good shape, and you have a good lending partner, getting an SBA loan can be an incredible way to get your small business off the ground. 


What steps do Arizona entrepreneurs need to follow to secure SBA loans? 

Your SBA loan application process will begin when you start looking for a lender you can trust. 

When you’re vetting potential lenders for SBA loans in Arizona, we recommend looking for a partner that:

  • Prioritizes excellent communication
  • Knows your local market like the back of their hand
  • Offers other excellent small-business-oriented services (such as cash management tools and commercial financing options). 

(Trust us—keeping all of your financial services in one place will simplify your life.) 

Secondly, you’ll need to choose which type of SBA loan to apply for. This can get very complicated and may depend on the size of your business or the goals you’re trying to fund. Your lender can help you determine which program is the best for your needs. 

Then, you’ll need to prepare and submit your application. It’s a good idea to reserve a reasonable amount of time for this step (2-3 months is ideal!). Your lender will help you collect and prepare the documents needed to finalize your SBA loan application. 

After submitting your loan, your lender will get back to you with further questions, a loan proposal containing specific terms and conditions for you to review, and, ultimately, approval for your SBA loan. 


What’s the best way to make applying for an SBA loan more successful (and less stressful)? 

No matter what, applying for an SBA loan in Arizona can be overwhelming.

Here are three ways to give yourself a head start on the process: 

  • Gather your required documents ahead of time. You will need to provide credit reports, recent tax returns, and relevant balance sheets and profit and loss statements during the application process. Having these documents ready to go will alleviate stress after you’ve initiated your application. 
  • Assemble a team of strategists and helpful resources. For example, speaking with an accountant, a bookkeeper, and an attorney will ensure your application is shipshape before you submit it. (Having a team will also reduce the amount of information you need to keep tabs on.) 
  • Make sure you and your bank have open communication. A partnership with a small business bank that communicates well is critical! You want to know that your bank has your back, picking up the phone if you need timely assistance and helping you understand what you need to do in the most straightforward terms possible. 

BNC can help you secure an SBA loan in Arizona (without the stress).

Trying to buy a business in Arizona? The purchase can feel like a gigantic undertaking—because it is! But with the right advisors, you can avoid getting bogged down by stress while accomplishing this goal. 

Fortunately, BNC National Bank’s team of financial experts is ready to help you secure an SBA loan. We even wrote a guide full of insider tips for streamlining the loan application process! Reach out to our team if there is anything we can do to support you as you buy a business in Arizona, and download our e-book, 5 Tips for Securing a Small Business Loan, for essential, practical advice.

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