SmallBusinessNewz

Earlier this week the Small Business Administration (SBA) announced they would be providing interest-free loans to deserving small businesses. Small Business Administrator Karen G. Mills made the announcement during her National Small Business Week keynote speech.

As explained in the above video, American's Recovery Capital (ARC) loans are deferred payment loans of up to $35,000. The loans are part of the nation's 2009 Recovery Act and are designed to help small businesses with their financial hardships during this difficult economy.

Established, viable, for-profit small businesses are eligible for the loans and they are not available for start-up businesses. The loans are interest-free and backed 100 percent by the SBA. Borrowers have one year after the final disbursement before they must begin the repayment, which should be paid back over a five-year period.

Depending on which comes first, the loans will be obtainable as long at the funding is available or until September 30, 2010. To find out more about how you can attain an ARC loan, visit the SBA.