The Adobe Flash Player is required to view this multimedia interactive. Get it here.

Government expands small-business loan access

Asphalt can only be sealed; only concrete is resurfaced
10:43 a.m.
Dollar stores get wider range of customers
10:32 a.m.
Honda gets a double-shot of good consumer news
10:30 a.m.
Anthem puts emphasis on quality
10:29 a.m.
UD researcher uses know-how to photograph local eagles
5/25/12
> More headlines

By , Staff Report 10:51 AM Monday, May 4, 2009

WASHINGTON — The U.S. Small Business Administration is expanding eligibility for its largest small-business loan program, the 7(a) program.

The change will help an estimated 70,000 additional businesses, including auto industry suppliers, auto and recreational vehicle dealers, get access to SBA-backed loans during the recession, agency administrator Karen Mills said. It takes effect this week and will last through Sept. 30, 2010.

The temporary 7(a) loan size standard will allow businesses to qualify based on net worth and average income, Mills said. It will parallel the eligibility standard for the SBA’s 504 certified development company loan.

In order to qualify, the net worth of the company and its affiliates cannot exceed $8.5 million, and average net income after federal income taxes for the preceding two completed fiscal years cannot exceed $3 million, Mills said.

For more information, go to www.sba.gov/size/indexwhatsnew.html or contact Catherine Gase at (313) 226-6075, ext. 223, or at catherine.gase@sba.gov.

Share this article