Loans for small businesses on the rise
The United States Small Business Administration Eastern Pennsylvania District announces its 7(a) Loan Program has approved more small-business loans in Fiscal Year 2018 than in prior years.
Lending increased in the Greater Lehigh Valley area (Berks, Carbon, Lehigh, Northampton and Schuylkill counties) by 7 percent in number and 36 percent in dollar amount over FY17. Small businesses in this geographic area received 193 loans worth a total of $83.5 million from Oct. 1, 2017, to Sept. 30, 2018, with an average loan size of $433,107. In FY17, 181 loans worth a total of $61.4 million with an average loan size of $339,444 were made.
“Increasing access to capital for small businesses is a critical role for SBA because it is essential for small-business growth and success,” SBA Mid-Atlantic Regional Administrator Michelle Christian said. “Our lending partners play an essential part in the SBA’s efforts to help small businesses across the nation. This speaks highly of the commitment of the SBA and our partners to the success of the entrepreneurial community.”
Through its lending partners, SBA-backed loans provide small businesses with access to capital that can cover the vast majority of business expenses, including short and long-term working capital, exports, and even refinancing existing debt under certain conditions. “This new lending record is great news for small businesses in Eastern Pennsylvania, and a good sign that the economy is growing,” said Acting Director Steve Dixel, SBA Eastern Pennsylvania District.