Georgia SBA Loan System Ranked in Top 5 of 4 Programs
SBA Achieves Historic Small Business Loans for FY2020 Georgia District Ranks Top 5 in 4 of 5 SBA Loan Programs
WASHINGTON – The United States Small Business Administration announced the FY20 loan summary data for financial assistance provided through traditional lending programs as well as assistance provided through the CARES Act. Loans guaranteed through traditional SBA-backed loan programs exceeded $ 28 billion; However, the enactment of the CARES Law significantly increased the volume of loans guaranteed by the Agency: in FY20, the Paycheck Protection Program provided an additional 5.2 million loans worth over $ 525 billion; The Agency’s Economic Disaster Loan Program added 3.6 million small business loans valued at $ 191 billion, as well as an additional 5.7 million EIDL advances valued at $ 20 billion.
“In response to the unprecedented challenges facing small businesses this year, the Trump administration has provided more than three quarters of a trillion dollars in financial assistance to support affected small businesses. The SBA loan data further reflects the extraordinary commitment this administration has made to supporting entrepreneurs in underserved communities, ”said Administrator Jovita Carranza.
Highlights of the PPP include:
- 27% of PPP loan dollars were made in low or moderate income communities, which is proportional to the percentage of the population in these areas:
- Over $ 133 billion, or 25%, of PPP loans have been approved for small businesses in historically underutilized business zones (HUBZones); and,
- Over $ 80 billion, or 15%, of total P3 dollars has been approved for small businesses in rural communities.
Administrator Carranza added, “In addition to the enormous help provided by the CARES Act through the PPP and EIDL programs, our regular loan programs have shown solid improvement year over year, especially in our 504 and microcredit programs.
The SBA District Office in Georgia had $ 23.6 billion in loans and ranked nationally in the top five of four of the SBA’s five loan programs:
- 174,420 loans totaling nearly $ 14.7 billion for the paycheck protection program (5e in the USA)
- 178,670 loans totaling over $ 7.7 billion for disaster lendinge in the USA)
- 1,236 loans totaling over $ 1.04 billion for loan program 7 (a) (2nd in the USA)
- 176 loans totaling over $ 146 million for the 504 loan program (13e in the USA)
- 130 loans totaling over $ 3.6 million for the microcredit program (4e in the USA)
“The small but dedicated team of professionals at the SBA have far exceeded their weight this year, building on last year’s loan numbers for traditional loans, while administering the case response effort. largest and most consequential disaster in modern history – while overcoming unprecedented disruptions to the workforce.
In FY20, the SBA’s flagship 7 (a) loan program made approximately 42,000 7 (a) loans totaling $ 22.55 billion. The 504 loan program had another year of enhanced performance, with more than 7,000 loans made for a total amount of over $ 5.8 billion. The microcredit program, which specifically helps businesses in underserved communities, achieved a second consecutive record year with nearly $ 85 million earmarked for more than 5,800 small businesses. Thirty-four percent of microloans made in FY20 went to black-owned small businesses.
Lending to underserved populations had another good year. Lenders reported that minority business owners received $ 7.5 billion in combined 7 (a) and 504 loans, or 27% of the SBA’s loan portfolio. Other reported data shows that SBA’s 7 (a) loans to women-owned businesses amounted to nearly $ 2.7 billion in FY20, while loans program loans 504 women-owned businesses totaled more than $ 522 million. In addition, loans to veterans totaled nearly $ 835 million for the 7 (a) and 504 programs.
“Our 504 and microcredit programs have increased significantly compared to last year: the 504 program increased by 17.5% while the microcredit program had another record year with a 4.3% increase in loans small businesses. Both loans are designed to create jobs and grow small businesses in communities across the country. SBA continues to create and expand opportunities for American entrepreneurs, ”said William Manger, associate administrator of the SBA’s Office for Access to Capital.
“This has been a historic year for the SBA’s disaster relief program, as we approved and disbursed more than three times as much funding for the EIDL COVID-19 program ($ 211 billion) than for all disasters combined. over the Agency’s 67-year history ($ 67 billion), ”said James Rivera, associate administrator of the SBA’s Disaster Assistance Bureau. “It was also the first time in the history of the SBA that the Agency had statutory authority to declare a pandemic and grant disaster loans. The SBA moved quickly to work with the governors, and within days the agency issued disaster declarations for all 50 states, five territories and the District of Columbia.
Also noteworthy is the SBA’s Office of Investment and Innovation which licensed 26 small business investment firms with $ 2.1 billion in private capital in fiscal year 20. It This was a 44% increase in the number of new licensees and a 72% increase in the private capital of new licensees compared to fiscal year 2019. The improvement was largely due to the elimination of procedural delays and unnecessary (repetitive) authorizations. Combined private equity and SBA-backed funds now total $ 32 billion, the highest in the history of the SBIC debenture program. Another highlight of the SBIC program’s success has been the awarding of the first license in nearly two decades to a minority majority owned and minority operated SBIC in Puerto Rico.
“2020 marked a significant improvement in our execution capabilities over 2019. Our candidate pipeline appears strong and we anticipate continued success in supporting US small businesses during this difficult time,” said Donald DeFosset, Associate Director of the SBA’s investment and innovation office. III.
For more information on SBA loan programs, financial aid, and other services, visit www.sba.gov.