Small business loans for veterans refer to business funding given to veterans, active service members and their spouses or widows, to help them start or grow a small business.
Below, we take a look at the various VA loans available, and how to qualify for a small business loan.
Best Small Business Loans for Veterans:
SBA 7(a) Loan
2.25% - 4.75% + prime
Up to $5 million
SBA Express Loan
4.5% - 6.5% + prime
Up to $350,000
Military Reservist Economic Injury Disaster Loan
Up to $2 million
Online Business Loan
5.0 - 99%
Up to $100,000
Personal Loans for Veterans
Starting at 3.34%
Up to $100,000
How do veterans get small business loans?
There are various loan types available for veterans to apply for.
- SBA 7(a) Loan.
- SBA Express Loan.
- Military Reservist Economic Injury Disaster Loan.
- Online Business Loan.
- Personal Loans for Veterans.
See the full range of small business loans for veterans and their pricing here.
How do I qualify for a VA business loan?
Veterans, including active service members, former members, service-disabled veterans, and their spouses or widows, and those in the Reserve or National Guard are eligible to apply for small business loans for veterans.
According to the SBA, a veteran or their spouse/widow must own at least 51% of an existing business to qualify. Veterans who wish to open a business are not required to have a minimum credit score, however, most VA lenders do impose a personal credit score of at least 620 to qualify for a VA loan.
For more information on how to qualify for a small business loan through the SBA, visit sba.gov.
How much can I get for a VA small business loan?
Veterans can receive a maximum of $350,000.
How do I register a disabled veteran owned business?
Disabled veterans can apply to the SBA 8(a) Service-Disabled Veteran-Owned Business Contracting Program. To qualify, you need to have a veteran-owned business (with 51% ownership) and have one or more service-disabled veterans managing the day-to-day operations of the business.
If you're interested in applying for a grant, be sure to read our article on Small Business Grants for Veterans.
What is a VA Business Loan?
VA business loans comprise three Small Business Administration (SBA) loans, namely: the SBA 7(a) Program, SBA Express Loans, and Military Reservist Economic Injury Disaster (MREIDL) loans. MREIDL loans are provided to businesses to cover the financial cost of an employee who has been recruited for military service and is no longer able to contribute to the business while they are away.
SBA loans for veterans are guaranteed up to a certain amount and there is no upfront fee for those who qualify for loans up to $350,000. VA loan rates range from 4.0% to 6.5%, depending on the loan amount.
What are the best small business startup loans for veterans?
- SBA 7(a) Business Development Program.
- SBA Express Loan Program.
- Hivers & Strivers.
- 7-Eleven Veterans Franchising.
What can business loans for veterans be used for?
- Covering working capital
- Hiring employees.
- Purchasing equipment, real estate, and machinery, etc.
- Expanding an existing business.
- Covering construction or renovation costs.