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Wich of the following is an advantage of small business loans throught the sba?

A. It reduces risk for private lenders
B. You don’t have to pay back the money
C. It is backed by private entities
D. You do not need a business plan to have this loan

User JasonBock
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1 Answer

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The advantage of small business loans through the SBA (Small Business Administration) is that it reduces risk for private lenders. Option A is the correct answer. The SBA offers a guarantee to private lenders that a portion of the loan will be repaid, reducing the lender's risk and allowing them to provide funding to small businesses that might not otherwise qualify for a loan. However, small business loans through the SBA do need to be paid back and usually require a business plan as part of the application process.
User Icguy
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