Borrowing Money for Paint and Coating Manufacturing

With these loans for paint and coating manufacturing, the SBA guarantees the lender that the loan will be repaid. This paint and coating manufacturing loan for $50,000 was given to a Minnesota entrepreneur in 2002.

Getting a small business loan in Forest Lake, Minnesota was important for this company back in 2002 and, based on their loan application, they were successful in getting an SBA loan from Park State Bank, operating out of Duluth, Minnesota. Here are the details on this Minnesota small business loan.

SBA Loan Borrower

COMPANY TYPE: CHEMICALS AND CHEMICAL PREPARATIONS
FOREST LAKE, MN 55025

SBA Loan Lender

PARK STATE BANK
2630 W SUPERIOR ST
DULUTH, MN 55806

This was a Low Documentation SBA loan. The SBA launched this program to limit the paperwork associated with borrowing money. The low-doc program requires completion of only a one-page form for a loan of $50,000 or less. The limits have changed over time. Currently, $100,000 is the maximum loan amount.

SBA Loan Program Type

This loan was issued as a general business loan.

SIC Code

2899 - Chemicals and Chemical Preparations

NAICS Code

325510 - Paint and Coating Manufacturing

Loan Approval Date

3/18/2002

Loan Approval Gross Amount

$50,000

Loan Approval from the SBA

Of the total $50,000 loan amount, the SBA guaranteed $42,500.

More Information on This SBA Loan

The borrower borrowed this money for an existing business. The SBA's records indicate that the loan was not for investment in a franchise. At the time of the loan, the company had 5 employees. The loan application did not indicate that the company planned to use the funding to add employees or retain any existing employees.

Next Steps for Getting an SBA Loan

SBA loan applications are made through a bank. The SBA guarantees a loan to the bank, so in case the borrower defaults, the bank is guaranteed a portion of the loan by the SBA.

There are SBA loan fees that may apply. SBA lenders must pay the SBA a guaranty fee of 1% to 3.5% of guaranteed amount. The SBA will also make the lender pay annual fees amounting to 0.25% of the loan's outstanding balance. The lender is allowed by law to pass these fees to the borrower.

Still, as most small businesses know, these fees are minimal compared to the potential of what capital can do for a business. So, what are you waiting for? Get in touch with an SBA lending bank today!

About This SBA Loan Information:

All SBA loan data displayed above comes from the government's publicly available SBA loan database. Information on this page is provided by the Gaebler.com news organization to inform business owners, aspiring entrepreneurs and others about SBA loan activity. LoanCensus.com does not assist businesses with obtaining SBA loans and was not involved in any way with this transaction. For additional information, see our Loan Information FAQ.

Related Links:

Financing Your Business

Good Banks for Small Business in Duluth, Minnesota

Browse All Business Loan Sources for Minnesota