The SBA Microloan Program offers small loans of up to $50,000 to help small businesses get started or grow. The SBA provides funds to nonprofit intermediary lenders, who then lend to eligible businesses.

Microloans can be used for working capital, inventory, equipment, supplies, and other day-to-day operational needs. However, they cannot be used for real estate purchases or to pay off existing debt.

To qualify, businesses must operate in the U.S., demonstrate the ability to repay the loan, and meet the specific requirements of the intermediary lender. Most lenders require a personal guarantee and collateral.

The approval process for an SBA Microloan can vary by lender but typically takes a few weeks. Having a strong business plan and all necessary documentation can help expedite the process.

Interest rates on SBA Microloans typically range from 6% to 9%, depending on the intermediary lender and the loan size. These rates are competitive compared to other small business financing options.

Yes, most SBA Microloans require collateral, which can be in the form of business or personal assets. Lenders also typically require a personal guarantee from the business owner.

At Mikel Consulting, we specialize in crafting custom business plans that meet the specific requirements of lenders. Our team walks you through the entire process, from assessing your financial needs to ensuring your business plan is structured to maximize your chances of loan approval.

Our business plans are more than just documents—they are strategic tools tailored to your business’s strengths and growth potential. We understand what lenders want to see, and we build comprehensive plans that include detailed financial projections, market analysis, and a clear repayment strategy.