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If you are starting a small business, you may want to consider starting with loans from the SBA. The SBA is a branch of the division of commerce that guarantees loans for small businesses. The chamber of commerce does not issue the loans directly, rather the loans are merely kept in a portfolio and the loans themselves are issued through a chartered bank.

The SBA offers a variety of loans that are eligible to different groups of people, the most commonly understood of which being women, minorities, veterans and the disabled; in each instance, the SBA has a program that is specifically designsba business loan ex-felonsed to accommodate the needs of that particular group and offers an SBA business loan. Ex-felons, contrary to popular belief, are not given a particular such grouping. Neither the SBA, nor any government lender, offers loan programs specifically for ex-convicts.

While it is unlikely that the recipients of an SBA business loan ex-felons will be, you need to also understand that the SBA issues so many loans through its Microloan program that you will almost certainly find a program that you can work with.

The requirements of the SBA are fairly straightforward and not much different from other lending institutions. They need to see that you have the experience, resources and business plan necessary to run a good business. Contrary to popular belief, the SBA is actually very strict in its lending practices, and accordingly has remained a very solvent institution, even throughout the recent economic turmoil.

Though you may be unlikely to find a prison demographic SBA business loan, ex-felons will still find within their reach to, through the help of the SBA, get access to the financing they need to start a lucrative enterprise.

This Business article was written by Mark Karavan on 1/31/2010