Loans to start-ups without sufficient outside resources for collateral are the exception for commercial banks.This type of lending is usually left to the SBA.

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Commercial banks typically require collateral in order to provide loans, making it difficult for start-ups without sufficient resources to secure funding. The Small Business Administration (SBA), on the other hand, offers loan programs specifically designed to support small businesses and start-ups without the same collateral requirements.

Loans to Start-Ups Without Sufficient Outside Resources for Collateral Are