Lending in Nebraska has been stepped up with SBA increasing its grants to small businesses this year. SBA has already lent $137 million to Nebraska businesses until June 30th while one more quarter is still left of its fiscal year. The loans amount to an average exceeding $45 million per quarter. Last year’s annual record of lending to Nebraska remained $153 million. It can be even higher this year.
The 102 SBA loans granted in fourth quarter amounted to $34 million and created 300 plus jobs. Small businesses of Nebraska are thriving while job growth continues to remain sluggish in other states. The reason for it is out of the loans granted, new businesses found more than half of the loans.
SBA backed financing going to startup businesses is found to be the highest. The number of Nebraska loans is part of resurgence in SBA lending in the current year. Through the end of third quarter, SBA loaned out $15.6 billion through its flagship 7(a) lending program. This amount is found to be 48 percent higher as compared to the same period last year. The amount is more than 1.5 times of total loans given out during the same period of 2009.
The SBA 504 lending program is known to provide low, fixed rate loans to SMEs for purposes like acquiring land, purchasing buildings, renovations, new constructions, machinery purchases, and expansions and so on. In third quarter, SBA reported eight such loans worth $4.5 million in Nebraska.
This article was submitted by Raj Tulshan, Director of Business Development of Biz2Credit. Biz2Credit is a small business marketplace that connects entrepreneurs with financing options and advice to grow their business. Send all questions to