Information and a strategic business plan are the keys to start, grow, expand, or purchase an existing entity. The best place to find knowledge and reliable resources about entrepreneurship and creating entities is the Small Business Administration (SBA), a US governmental agency.

SBA along with financial institutions including banks and other lenders offer different types of loans to assist with expansion and acquiring startups and existing businesses. Below are four steps you can take to boost the growth of small to large businesses.

Four Steps to Boosting Small Business Growth and Expansion

• Capital is a requirement to grow and expand a small business entity. You can seek a loan through a bank, Small Business Administration, or lender and use it as working capital or acquire an existing company. SBA works with many lenders to find the right loan that meets your business’s needs.

• Marketing development is strategically beneficial to further growth and expansion of businesses of all sizes. You can find new ways of attracting new customers and selling more products or services to existing customers. It is a strategy effective for promoting and selling products in national and global markets.

• Form strategic partnerships with a stable or profitable company to increase your clientele or customer base. Make sure the business you have an interest in complements your company’s mission, ideas, products, and services.

• Get to know your demographic area and search for new opportunities for sales and profitability. Once you study the demographics where you conduct business, you can research the competitors offering similar services or products.

Most Common Type of Business Loan

SBA is not the lender of business loans but makes available a list of lenders offering loans from $500 to $5.5 million to entrepreneurs and business owners. The governmental agency guarantees loans and gives beginner and experienced entrepreneurs access to funding, entrepreneurship development, and government contracting opportunities. The lenders are providers of working capital and fixed assets loans. A working capital loan is available in the financing, revolving credit, re-financing, and exporting options. Funds provided through a fixed assets loan are for entrepreneurs to buy furniture, equipment, real estate, and machinery.

What Is A Business Acquisition Loan

A loan to buy a business is available in the form of seller financing, startups rollover, and alternative. A seller financing loan is a promissory note between the business owner and the buyer which transfers ownership under repayment conditions. The buyer may have to pay a certain percentage of ownership in the agreement.

A rollover loan is for business owners to convert eligible retirement accounts into capital for investing in a startup company. Alternative loans come in different forms including working capital, business line of credit, and term. The benefits of obtaining a business loan are SBA counselling & education, competitive terms, no collateral, and low down payments.