During my years as a business advisor, I came to the realization that there are many business owners that have prejudices against the Small Business Administration that are based off of misunderstandings, misconceptions, and fears. I hope that after reading this article, you gain a better understanding of the Small Business Administration and that you lose your misconceptions of the SBA.
The purpose of the Small Business Administration is to nurture and save small businesses in the United States. While they are a government agency, the SBA is there to help your business so that it does not become another statistic.
A common misconception about the Small Business Administration is that since it is a government agency, there is going to be a lot of red tape that you will have to deal with. In all honesty, there is some red tape, but it is very little. Many presidents over the years have made it a point to eliminate as much red tape as possible from the SBA so it can move as quickly, and efficiently, as possible.
The SBA is for Failing Businesses
This is not true at all. The Small Business Administration is there to nurture all small businesses in the United States. There are tons of programs that are set up for all kinds of businesses at all stages of the profitability line.
The Small Business Administration Just Gives Loans
Another common misconception that could not be further from the truth. The SBA has tons of programs that have nothing to do with loans. Many of these programs are in place to teach aspects of the business world, help you with potential issues that you are facing, or might face in the future, or help you start a business from scratch.
Your Small Business Needs Great Credit to Get a Loan from the SBA
Another common misconception that does not make sense. The Small Business Administration gives loans to small businesses that are struggling. They understand that poor credit ratings occur when you are struggling as a small business. They have programs to help.
Going to the SBA is Admitting Failure
This final misconception keeps too many businesses away from asking for help from the Small Business Administration. Again, the SBA is there to help at all financial levels. You do not have to have a failing small business, just one that you want to improve.
If you are a small business owner, try to get away from these common misconceptions about the Small Business Administration. If you need their help with something, don’t be afraid to ask. The SBA is there to help you move forward as much as possible.