Frequently Asked Questions # 8

8. Will the SBA deny a loan application based on personal history?

The SBA will not decline a loan solely due to bad credit, no credit, unemployment, or serving prison time. However, these circumstances will make the process more challenging. In some cases, eligibility to apply for a loan can be limited or restricted due to personal history issues. Explanation of prior bankruptcy experience and investigation of past arrest records or criminal conviction may delay a decision regarding a loan request. Therefore, a prospective business owner should put forth the time and effort to produce a well thought-out business plan that discusses owner experience and personal character issues that may affect a loan decision.

For more information, check out our current training calendar to find out when the next "Starting a Business in Arkansas" seminar is being offered.

Refer to: ASBDC Training Program - Starting a Business
              Can I Qualify for a Business loan?

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