Government Financing Assistance

Governments offer a wide-variety of loan guarantees, low-interest loans and venture capital financing programs to help entrepreneurs start and grow their businesses, including the following:

  • Small Business Administration (SBA) Financing Programs - The SBA provides a number of financial assistance programs for small businesses including 7(a) and 504 loan guarantees and disaster assistance loans. Just to clarify, the SBA does not provide loans directly to borrowers, except after natural disasters. Instead, the SBA provides loan guarantees to lenders, which lowers their risk and thereby encourages them to provide loans to small businesses. All standard SBA loan products are handled thru lenders—both traditional (banks, finance companies, etc.) and non-traditional (online, etc.). Most traditional lenders participate in the SBA loan guaranty program. Learn more SBA loan programs here: SBA Financing, or take the SBA FREE Online Course: Finance Primer: Guide to SBA’s Loan Guaranty Programs.
  • Department of Defense SBIR/STTR Program - These programs provide over $½-billion in funding each year to small technology companies in early-stage research and development projects that serve a specific DoD need and have commercial applications
  • Maryland Department of Business and Economic Development (DBED) - Links to loans, loan guarantees or interest subsidies to small businesses that are unable to obtain financing on reasonable terms from other sources, including some specific special purpose loans and guarantees for day care, animal waste technology, brownfields, aquaculture, and Arts & Entertainment Districts
  • Maryland Department of the Environment (MDE) - Provides a range of grants and loans for pollution prevention initiatives
  • The Meridian Management Group, Inc. - Provides financing for small businesses and those owned by socially and economically disadvantaged persons
  • Maryland Department of Housing and Community Development (DHCD) Neighborhood BusinessWorks Loan Program - Provides gap financing to new or expanding small businesses and nonprofit organizations in Sustainable Communities throughout the State