Brian McDonald worked at the headquarters of the Small Business Administration in Washington, D.C., before moving to the Minneapolis district office in 2017 and being named district director in May 2020.
"Our team is very mission oriented, and it's a great mission," McDonald said. "Meeting with small-business owners directly and seeing the impact that they're having, they really keep our communities livable and vibrant; they're 50 percent of the workforce."
In an interview, he offered a few ideas for entrepreneurs seeking SBA loans. Some excerpts:
Q: What's your message to business owners who aren't familiar with SBA loans?
McDonald: SBA lending programs are great programs, worth looking into as an option. The sweet spot for an SBA loan, typically, is businesses that are lacking for collateral and might not otherwise qualify for a traditional loan. There are competitive terms. The SBA sets maximum interest rates for lenders and then the interest rate that borrowers get is specific to the lender that they go to. For veteran borrowers there is an extra fee release.
Q: How does a business apply for an SBA loan?
McDonald: They would go to an SBA lender. We have a list on our Minnesota district page. Another option would be to go to "lender match" on sba.gov. One of the first questions we ask a small business is do they have a banking relationship. That's usually a good place to start to keep things less complicated.
Q: What are some tips on applying?
