Karen Mills was confirmed as head of the Small Business Administration in April, and then in May launched another effort to help small business owners with one of their biggest challenges: getting loans. Mills announced the new America's Recovery Capital loans in her National Small Business Week address : These short-term loans of up to $35,000 can be used to cover payments on non-SBA debt. They have no SBA fees or interest costs for the borrower and are 100 percent guaranteed by the SBA. The loan is for six months, followed by 12 months of no repayment and then 5 years to pay it back. ARC loans are for viable businesses, meaning that the business must have an established history of good performance – but they are in a situation where they just need a little extra help to bridge the “troubled waters.” The SBA is scheduled to accept loan packages from lenders under this program June 15. Mills says the larger efforts by the Obama Administration have begun to unfreeze credit. But she told CNBC 's Your Business that they need to keep working on re-starting the secondary market for loans, and to make the SBA loan process more accessible and less bureacratic for business owners: Visit msnbc.com for Breaking News , World News , and News about the Economy