WASHINGTON (10/31/13)--The U.S Small Business Administration (SBA) supported more than $29 billion in lending in fiscal 2013, its third-highest total, the agency reported this week.
The other record highs came in fiscal 2012 ($30.25 billion) and fiscal 2011 ($30.5 billion).
"Small businesses are the engine of our economy, and reaching our third highest year of SBA lending in FY 2013 demonstrates the strength and resiliency of America's 28 million small businesses as they continue to recover from the Great Recession and drive our economy forward," Acting SBA Administrator Jeanne Hulit said.
The SBA said the loans were made through its two main loan programs, 7(a) and 504.
Some 7(a) loan program fees were reduced on Oct. 1. (News Now, Sept. 27)
For the 2014 fiscal year, which began on that date, a yearly fee of 0.52% of the guaranteed portion of the outstanding balance of the loan will be assessed for 7(a) loans of $150,000 or more that are approved. The SBA previously charged a service fee of 0.55% of the outstanding balance of the guaranteed portion of the loan.
Yearly fees and guaranty fees will not be charged on 7(a) loans of $150,000 or less that are approved in that year.
Credit unions may participate in 7(a) loans, and the SBA-guaranteed portion of a 7(a) loan is not counted against a credit union's business lending (MBL) cap. There were 347 credit unions with over 8,100 SBA loans outstanding, totaling $921 million in funds, at the end of 2012.