As predicted, the Federal Reserve rates are on the rise. As of March 15, 2017, the fed rate increased for the second time in three months. Currently at 1%, more increases are expected throughout the year.
When the fed rate increases, so does the prime interest rate, which is now at 4%. As SBA loans are prime + 2.75%, the rate for SBA loans is now at 6.75%.
While the increasing rates make SBA loans less attractive to small business owners, there is still a way to obtain funding. By using retirement funds, utilizing Benetrends Rainmaker Plan®, an entrepreneur can obtain the funding to open a new business tax-deferred and penalty-free.