The Importance of Working with an SBA Preferred Lender

It’s a situation Neal Squires, Boise-based branch manager for Zions Bank, encounters often: A small business owner comes to him with a cash flow crisis.

“They have short term needs come up, they need that line of credit and they need it quick,” Squires says. “In many cases they are coming to us because they are forecasting a cash crunch within the next few weeks.”

Luckily for these businesses, Squires is well-versed in small business lending*, and Zions Bank — as a top U.S. Small Business Administration preferred lender — is able to offer clients a fast and streamlined approval process.

The Importance of Working with a Preferred Lender

Preferred lender status is awarded to lenders who have demonstrated their commitment to small business and their ability to effectively serve the market. High-volume SBA lenders like Zions Bank are delegated loan approval as well as closing and most servicing authority, enabling them to make loan decisions more rapidly.

Squires helped an electrical company obtain an SBA Express loan* in two weeks, from application to closing. It was a lifeline to help the company maintain uninterrupted cash flow between contractor payments and biweekly payroll deadlines.

Government Guarantee is Critical

SBA loans are one of the best ways for small businesses to get the funds they need to succeed. Because the loans are backed by the government, lenders can extend financing to businesses that might not otherwise qualify.

“A lot of customers have dreams to start their own business, but they don’t have funds to do that,” said Nancy Pearce, manager of Zions Bank’s Bountiful branch. “An SBA loan gives them the opportunity to live that dream.”

For one of Pearce’s clients, that dream was to open her first restaurant. She eventually opened a third location of her thriving noodle bar.

“She would not have been able to do it without an SBA loan,” Pearce said.

Another of Pearce’s clients was working for a landscaping company when it occurred to him that he could do the same work for himself. Through an SBA loan, he was able to build a successful landscaping company, now entering its third year in business.

SBA Loans Have Multiple Uses

SBA loans can be used to meet a variety of financial demands, including start-up costs, working capital or fixed assets. They can even be used to refinance an existing loan. And with marginally more paperwork than a traditional loan, the SBA application process is easier than many business owners anticipate. 

“I think we do good job of helping clients understand forms, making sure they are completed correctly and getting them approved by the district office,” Squires said.

More than just a ranking, “SBA” is literally Zions Bank’s middle name — sandwiched between “Zions” and “Bank.” As a leader in small business lending in Idaho and Utah, Zions Bank’s team of relationship managers can help you find the right SBA loan for your business. 

Apply for an SBA loan online anytime or visit a local Zions Bank branch to learn more.

*Loans subject to credit approval and SBA approval. Terms and conditions apply. See a banker for details.