SBA loan volume skyrockets

JACKSON — The U.S. Small Business Administration’s (SBA’s) Mississippi District Office continues to turn out big loan approval numbers in fiscal year 2010.

“We started this fiscal year rolling out loans in the same manner we ended fiscal year 2009,” said Janita R. Stewart, SBA Mississippi district director. “The volume of loans approved, both in number of loans as well as dollar volume of loans, are quite impressive.”

In the three months ended Dec. 31, participating lenders made 298 SBA-guaranteed loans in Mississippi totaling almost $56.88 million. Compared to the first quarter of fiscal 2009, this represents a 161 percent increase in the number of loans – the largest percentage increase in Region IV, which includes Alabama, Florida, Georgia, Kentucky, North Carolina, South Carolina, and Tennessee – and a 133 percent increase in loan dollars.

These loans were made in two programs, 7(a) and 504.

Two provisions of the American Recovery and Reinvestment Act—higher guarantees and waived borrower fees—contributed greatly to the increased activity during the first quarter. These provisions have been extended through the end of February.

“This trend affirms that money remains available to qualified borrowers and may prove a positive sign in helping boost Mississippi’s economy,” said Stewart.

To sign up for Mississippi Business Daily Updates, click here.