Small Business News You Need To Know Today
The House Committee on Small Business held a hearing titled, “Improving Capital Access Programs within the SBA” on Tuesday, May 19. According to a statement, the purpose of the hearing was to examine capital access programs within the SBA. Subcommittee on Economic Growth, Tax and Capital Access Chairman Rep. Tom Rice was quoted as saying that “access to capitol is the foundation of a strong economy” during the hearing. NADCO CEO Barbara Vohryzek gave a testimony (PDF) at the hearing, making a case for the 504 loan program, and outlining its benefits as a job creator. Vohryzek proposed some modifications that NADCO would like to see made to improve the program “as well as make some immediate fixes to a few current challenges that the CDC industry and the 504 loan program face.” One thing she spoke about was restarting debt refinancing with the 504 loan program, proposed by extending the CREED Act after it had expired in 2010. The Act allowed small business owners to use SBA 504 loans to refinance certain existing commercial mortgages.
In Iowa, the SBA backed 34 loans for $7.4 million to businesses in that state in April from participating lenders using its two largest lending programs, according to a story in the Business Record. “That capitalized 14 new and 20 existing businesses expected to create 89 new jobs and retain 183 jobs,” the story reported.
The relationship between small businesses and banks is changing. According to a story in Forbes, small businesses are more likely post-crisis to move pieces of their banking services around to get the best deal despite having a long-term relationship with their financial institution. “Given the competitive nature of today’s marketplace, banks must focus considerable resources both on retaining key customers and finding new sources of growth,” says a new report by Ernst & Young (PDF). The report said that almost “one in five companies reports having changed its primary bank in the past year” and many others would also consider switching.
Are you leaving money on the table? You probably see a lot of business come across your desk and you probably don’t have a product for every single deal. Liberty SBF has developed a suite of commercial real estate financing programs that can help you service more of your customers. Why should you partner with Liberty SBF? First, your clients are protected. We work on a purely transactional basis so we never look to take deposits. Your customer stays with you. We also make timely decisions on deals so you don’t keep your customers waiting. Finally, we pay referral fees on every deal. Expand your product offerings with our Liberty SBA 504 loan for owner occupied acquisitions and our Bridge or CMBS loan programs for the purchase or refinance of investment commercial real estate. Learn more about our Bridge Loans by downloading our White Paper here. Call us today for more information about all of our loan products and services.
Contact at (888) 992-0190 or SBALoan@LibertySBF.com for more information!
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