Small business has a partner, supporter in SBA

For those with a great idea ready to launch a new venture, or current small business owners looking to improve sales, expand operations, or add employees, the U.S. Small Business Administration stands ready to be your partner.

Why is this so important? Because when small businesses do well, our communities do well. They create two out of every three jobs, and nearly half of the country is employed by a small business. In fact, here in Illinois, more than 99 percent of businesses are small, and they employ 45.5 percent of the state's workforce.

The SBA is one of the best kept secrets in the country, and our services are wide-ranging. SBA staff members based in Chicago and Springfield and technical assistance partners throughout the state, including Small Business Development Centers, SCORE chapters, and Women's Business Centers, provide low- and no-cost assistance for entrepreneurs, training in essential management skills, and one-on-one counseling to review business plans.

The SBA can also help you sell to the world's largest customer, the U.S. government, and the HUBZone and 8(a) Business Development programs ensure small businesses compete on a level playing field for billions of dollars in federal contracts awarded every year. For small businesses at any stage, access to capital can mean the difference between success and failure, and SBA-guaranteed loans can fill that need. The agency doesn't lend money directly to small business owners, but rather sets guidelines for loans made by partnering lenders, community development organizations, and microlending institutions. The SBA reduces lender risk, making it easier for small businesses to get loans. SBA-guaranteed loan programs include:

7(a) Loan Program: The SBA's largest financing program can be used for almost any business purpose - including to purchase real estate, equipment, working capital, or inventory for your small business; to refinance business debt; or to purchase a small business - and it offers reasonable rates and terms.

504 Loan Program: If you would like to purchase land or heavy equipment, or buy/renovate real estate for your business, ask about this program, which provides competitive fixed-rate mortgage financing through an SBA lender and a Certified Development Company.

Caplines: Caplines meet your revolving capital needs with lines of credit.

Community Advantage Lenders: These community-based financial institutions are focused on financing for women, veterans, low-income borrowers, and minority entrepreneurs just starting up or in business for a few years. The program can provide access to free business counseling when you are putting together your financing.

SBA Microlenders: Entrepreneurs can borrow from $500 to $50,000 and access free business counseling from SBA microlenders to start up and grow.

If the choices seem overwhelming, don't fret. Finding the right lender is a great first step, and the SBA can help there, as well. Lender Match, at sba.gov/lendermatch, is a referral tool that connects entrepreneurs with participating SBA-approved lenders. Online, potential borrowers answer a few short questions about their business, and within a few days, they receive an email with contact information of interested lenders. It's a free, quick way to begin the process of securing a loan.

While no one can predict the future, there are plenty of steps - including tapping into the SBA - to ensure your small business or the one you plan to start is on the right path, and stays on it. The SBA empowers and advocates for small businesses and entrepreneurs throughout Illinois and the U.S. We are dedicated to serving as a go-to resource at every stage of a business life cycle for aspiring or current entrepreneurs. Reach out to our field office, visit us at sba.gov/IL, and follow us @SBA_Illinois. We look forward to hearing from you!

• Robert Esquivel is supervisory lender relations specialist for the U.S. Small Business Administration in Chicago.