Definition: A SBA loan program that helps entrepreneurs get very small loans,
from less than $100 to $25,000
Microloans from the SBA can be used for machinery and equipment,
furniture and fixtures, inventory, supplies and working capital,
but can't be used to pay existing debts. Microloans are
administered through nonprofit intermediaries using SBA funds.
Terms are usually short, and application turnaround time is less
than a week. These organizations receive loans from the SBA and
then turn around and make loans to entrepreneurs. The
intermediaries will often walk you through writing your business
plan and taking inventory of your business skills.