What loans/debts are “qualifying” and eligible to benefit from ARC? Can the proceeds be used to make payments on another loan?

  • The only eligible purpose for use of ARC loan proceeds is to make periodic payments of principal and interest on qualifying small business loans.
  • Small business loans/debts qualifying and eligible for assistance with ARC loans include:
    • Secured & unsecured conventional loans (mortgages, term and revolving lines of credit)
    • Capital leases
    • Notes payable to vendors/suppliers/utilities
    • Community Development Company (CDC) Loan Program (504) first mortgage loans
    • Credit card obligations for business purposes
  • ARC loans can not be used to make payments on another SBA-guaranteed loan, with the exception of loans made with an SBA guaranty after Feb. 17, 2009.
     



Get the Info That Matters Most to You With SBA Direct

Find information on:

(Select your topics)

Get Local Assistance Right in Your Area

Counseling, mentoring, and training from an SBA District Office, SCORE Chapter, Small Biz Development Center or Women’s Biz Center in your area.

FIND RESOURCES

join the community


  No relevant media for this area.

Sierra Vista Munsey Contract and Development owners Norman Munsey and Mark Berg found out that being prepared really does make a difference when it...
  Enes, Mira and Sandro Sljivo of EMSA Inc., pose in their sparkling clean kitchen.   One taste of their hearty, garlicky beef kebob...
success_story_prodigyconst1.jpg
Joe Holbrook and his cousin Ryan Gunnoe were working for the same construction company when they decided to start their own construction management...