Guaranty Bank No. 1 in SBA Loan Activity for FY 2020 First Quarter
By: SBA Springfield Branch Office
Published: 02/12/2020
The U.S. Small Business Administration (SBA) – Springfield, MO Branch Office (SPBO) has announced the agency’s loan approval activity in 28 counties in Southwest Missouri for Fiscal Year 2020, 1st quarter (10/01/2019 – 12/31/2019).
The SBA approved 70 guaranteed loans in SPBO market totaling $23,662,900 in FY 2020, Q1. The totals include 60 loans for $17,200,900 under the agency’s largest loan program, the 7(a) general business loan program, and 10 loans for $6,462,000 under the 504-loan program.
Guaranty Bank was the top SBA 7(a) lender based on loan count approving 11 7(a) loans for $3,067,900. The 7(a) program is SBA’s flagship loan program and offers guarantees on loans to small businesses of up to $5 million on reasonable terms and conditions. 7(a) loans are commonly used by small businesses for a wide variety of financing needs including acquiring land, purchasing equipment, or working capital.
Rural Missouri Inc., was the top SBA 504 lender, approving 10 504-loans for $6,462,000. SBA’s 504 loan program helps provides capital to small businesses for the acquisition of fixed assets to promote economic development via long-term fixed-rate financing on reasonable terms. Under this program, the SBA authorizes Certified Development Companies (CDCs) to provide financing to small businesses with the help of third-party lenders (typically banks). The maximum loan amount is $5 million; however, certain energy-efficient or manufacturing projects may qualify for more than one 504 loan up to $5.5 million each.
“Small businesses play a crucial role in Southwest Missouri’s economy. SBA programs and services are taxpayer funded programs and every county could benefit from these guaranty loans. It is a shared responsibility of every citizen and economic development professional in each of these counties to learn about these programs and take advantage of them,” said Ram Basnet, SBA Springfield, MO Branch Manager.
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About the U.S. Small Business Administration – Springfield, MO Branch Office
The U.S. Small Business Administration Kansas City District Office oversees the SBA Springfield, MO Branch Office. The Branch Office serves 28 counties in Southwest Missouri empowering entrepreneurs and small business owners with the resources and support they need to start, grow or expand their businesses, or recover from a declared disaster. To learn more, visit www.sba.gov/mo.
