U.S. Small Business Association in Mississippi increased its loan approval to small businesses in underserved communities. The approvals increased 47.5 percent in first three quarters of current fiscal as compared to the same period last year.
It is through the SBA guarantee loan program that $146,751,700 in loans got approved to businesses owned by minority, women, enterprise communities, hub zones, rural areas and those belonging to moderate income areas.
For total volume of approved loan dollars, the state office has set a record six months in its fiscal year starting Oct 1 and extending till Sept 30. Until June 30th, Mississippi SBA got 607 loans sanctioned that totals $235,453,500 while just $193 million got approved in fiscal year 2010. In Harrison County itself, $10,162,500 got validation through SBA’s loan guaranty programs during first three quarters of fiscal year 2011. In Jackson County, 12 loans totaling $3,119,900 got approved and five more loans that total $1,149,700 have been authorized in Hancock County.
Janita Stewart, SBA director of Mississippi says that it is because of the signing of Small Business Jobs Act in last September that escalation in lending amount of SBA from $2 million to $5 million took place. Eighteen new lenders are included on the Mississippi board this fiscal that did not participate earlier or had not made loans in past two years.
According to estimates of SBA, for every $50,000 that is borrowed, it enables small businesses to hire or retain one employee.
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