City of Savannah Business Loan Guaranty Program
To assist Savannah businesses with financing under the City of Savannah’s CDBG Revolving Loan Fund, the SBAC guarantees business loans that are made by lending institutions to qualified borrowers. Priority is given to businesses located in low to moderate income neighborhoods, minority-owned businesses, and businesses that will create jobs for low to moderate income persons.
- Land and building acquisition
- Acquisition of inventory
- Renovation of current facilities
- Payment of accounts payable
- Acquisition of machinery & equipment
- Business buyouts
- Acquisition of furniture & fixtures
- Working capital
1. Loan Amount
Minimum Amount: $5,000 as required by most participating lending institutions.
Maximum Amount: SBAC’s maximum 80% guaranty participation limited to maximum $80,000 guaranty. For loans exceeding $100,000, the participating lender must agree to reduce the SBAC guaranty share. SBAC provides a maximum 90% guaranty participation limited to maximum $90,000 guaranty for projects located within the City of Savannah’s designated poverty area.
Personal guaranty secured by mortgage on real property if available.
Security interest on business assets as required by the lending institution and/or the SBAC.
3. Guaranty term fully amortized up to five (5) years
4. Fees to Borrower
One and one half percent (1½%) of the guaranteed portion of the loan must be paid to the SBAC by the borrower. The borrower may use the loan proceeds to pay the fee. In addition, the borrower is responsible for closing costs.
Prepayment penalty fee is not permitted on an SBAC guaranteed loan.
Businesses which meet the following SBAC criteria:
- For profit corporation, partnership, proprietors or producer’s cooperatives.
- Operating in Savannah or planning to locate in Savannah.
- Retention of existing employment and creation of new employment opportunities for low to moderate income individuals.
LOAN PACKAGING ASSISTANCE
Loan “packaging” includes the following services:
SBAC staff will package pre-qualified loan applications to conform to current regulatory requirements and will ensure that the SBAC Loan Committee is given all of the essential documentation and information needed to render a quick decision on the application.
HOW TO APPLY
Obtain a loan application:
- Apply Online
- Download the Application (PDF format) and return completed form by fax to 912.232.0385
- Contact the SBAC by Phone at 912.232.4700
- Visit the SBAC Office: 111 E. Liberty Street, Suite 100, Savannah, GA 31401
Information subject to change without notice.