SBA Starts Working on Waiting List With the $60 million last week's legislation handed the SBA, the agency today starts working through a waiting list of the 652 loans totalling some $231 million that piled up after February 22. Before the Senate passed the bill, Senator Mary Landrieu, Democrat of Louisiana, spoke of a small-business owner on the waiting list who told the senator she'd have to lay off 27 workers if she did not obtain new financing. . . . keep reading sbaAccess, C5 People Solutions Announce Strategic Alliance "The current environment is very unique," said sbaAccess Principal Brian Burke. "Regulatory oversight is tighter than ever, yet banks are being told to pump credit into Main Street. The pressure is high for banks to devote more resources to their SBA lending efforts, but the cost of making that investment without the right people in place, or with faulty processes or checks and balances, can be worse than the cost of staying on the sideline. This alliance will allow us to address both of these challenges more effectively at a really critical point in time." . . . keep reading SBA loan breaks back in place, temporarily President Barack Obama signed the Temporary Extension Act of 2010 into law March 2 after the Senate passed the legislation 78-19. The House passed the legislation -- which also extends unemployment benefits, federal highway spending and other popular programs -- Feb. 25. But U.S. Sen. Jim Bunning, R-Ky., blocked the bill in the Senate before finally relenting on his filibuster. The legislation provides the SBA with $60 million to restore the 90 percent government guarantee on the SBA's flagship 7(a) loans, and reduce or eliminate fees on the agency's 7(a) and 504 loans. But the extension lasts only through March 28. . . . keep reading Loan effort lifts some small firms In Michigan, 38 lenders are participating in the ARC program, though Bank of America and Comerica Bank do not offer ARC loans. Jefferson George, a spokesperson for Bank of America, said the bank evaluated the ARC program and believes it can help more small-business owners in other ways, such as expanding its SBA product offerings through the Standard 7(a) loan program. Many small businesses will not qualify for SBA ARC loan of up to $35,000. The Swartz Creek couple sought out the loan in November. They estimated that they spent from 30 hours to 40 hours gathering the necessary data, finding the proper forms and answering repeated requests for more information. The Trebtoskes said much of their work included proving that their credit card expenses went toward the business. He said the calls for new homes stopped in mid-2007. He noted that many builders were pushed out of the state. Far more needs to be done, especially in Michigan, to help small-business owners, he said. For other business owners, the couple recommends being persistent when trying to get an ARC loan -- and have a backup plan. "We feel lucky because we know several business owners that applied for this and got turned down," said Michelle Trebtoske, 49. "It would have been so easy to just give up on this." . . . keep reading Small businesses, banks differ on loans For small-business owner Skip Gronauer, the quest for capital continues. Gronauer, president of Regal Motors, has spent more than a year trying to find a suitable financial fit. But after visiting more than two dozen banks without any luck, he is frustrated. "I have good collateral and great credit, but banks look at the auto industry and decide they don't want to take a chance on me," Gronauer said. "But that's where the disconnect comes in. Yes, I'm part of the auto industry, but their failure is not my story.' Eleven percent of the 2,114 small-business owners surveyed in February by the National Federation of Independent Business said that they couldn't get their borrowing needs met, a record high. On the flip side, only 27 percent were able to get the loans they needed -- a record low for the survey since it started in 1983... One challenge for the SBA is to persuade more banks to participate. About 90 lending institutions made SBA-backed loans in FY 2009. The Tennessee Bankers Association represents 235 banks. . . . keep reading TALF, Kickstarter for Small-Business Loans, Departs Announced in November 2008 and implemented almost exactly a year ago, the Term Asset-Backed Securities Loan Facility, or TALF, worked behind the scenes to propel the market for loans guaranteed by the Small Business Administration. "It accomplished what it was meant to accomplish," says Bob Judge, partner at Government Loan Solutions, a Cleveland firm that monitors the activity of small business loans on the secondary market. . . . keep reading Obama talks up SBA loans After touring Meddin Studios, a digital production company, and Chatham Steel Corporation in Savannah, Ga., on Tuesday afternoon, President Obama said their success comes in part from loans provided by the Small Business Administration. Here are his remarks to the pool, provided by the White House: "If you think about the two businesses we just visited, on the one hand you've got old-line manufacturing at a steel company that is in its third generation, but they've been able to adapt to a tough manufacturing environment and succeed, mainly around customer service, being able to turn around orders very quickly, specialized orders. . . . keep reading SBA Procedural Notice on Loan Queue Funding On March 2, 2010, President Obama signed the Temporary Extension Act of 2010 (P. L. 111-144). This legislation provides an additional $60 million to support new 7(a) and 504 loans under Sections 501 and 502 of the American Recovery and Reinvestment Act of 2009 (the "Recovery Act"). These funds are available to provide fee relief for certain 7(a) and 504 loans and a higher SBA guaranty for eligible 7(a) loans. In addition, this legislation extends the authority for SBA to provide a higher guaranty on eligible 7(a) loans to March 28, 2010. This authority applies to applications received by SBA on or after March 2, 2010. . . . keep reading Give 'Em Credit - CFO.com At a House Financial Services Committee hearing last week, bankers and business owners testified that access to credit is still widely constricted for small businesses. The numbers back that up. In the Duke University/CFO Magazine Global Business Outlook Survey for the first quarter of 2010, 60% of executives at companies with less than $25 million in revenue said borrowing is much more difficult today compared with the summer of 2008, before the collapse of Lehman Brothers. By contrast, only 25% of companies in the $1 billion to $4.9 billion revenue range answered that way. . . . keep reading Banks expand small-business loans - AP NEW YORK -- Banks know what the public wants to hear: They're lending money to the little guys. JPMorgan Chase & Co.'s new ad campaign publicizes the bank's plans to lend $10 billion to small businesses this year. Other banks, including Wells Fargo & Co. and Huntington Bancshares Inc., also say they'll extend more small-business loans. . . . keep reading El Paso man charged with Export-Import Bank fraud DALLAS - Two years ago, WFAA revealed massive fraud in loans to Mexican companies guaranteed by the Export-Import Bank in Washington. The Ex-Im bank is a taxpayer-funded institution designed to boost American exports. After WFAA's investigation, one San Antonio man was sent to prison on fraud conviction. Now, an El Paso man has been charged with fraud over Export Import loan guarantees. . . . keep reading Underwriting the Franchisee Loan Applicant Bob Rodi is the President of Mount Pleasant Capital and recently spoke on the same panel with Bob Coleman at The Spring 2010 Franchise Leadership Forum in Irving, TX. Bob Rodi has 29 years of experience in franchise financing, commercial underwriting and equipment leasing. He is responsible for dozens of loans annually to franchisees across the United States and he's one of the nation's leading experts in helping to fund franchise operations. . . . keep reading Ex-Merrill Lynch Director Gets SBA Loan For Ski-Rental Business in Park City Utah Fannon applied for a loan, with backing from the Small Business Administration (SBA), the U.S. government's main source of assistance to small business owners. From a lender's perspective, rental businesses are a risky undertaking. Skis on the Run is not an asset-heavy business--the warehouse space is leased and the value of inventory alone is nowhere near enough to cover the loan. But revenue had grown over 10% annually since the business launched in 2002. . . . keep reading SBA Recovery Act Funding Extended WASHINGTON -- President Barack Obama signed legislation Tuesday extending until March 28 the U.S. Small Business Administration's ability to provide small business loans that are enhanced with special provisions of the American Recovery and Reinvestment Act (ARRA), including a higher guarantee of SBA- backed loans and a waiver of loan fees normally paid by borrowers. SBA estimates the additional funding will support about $1.8 billion in small business lending. . . . keep reading Markup on Views and Estimates of SBA Budget for Fiscal Year 2011 Washington, DC -- Rep. Nydia M. Velázquez (D-NY), the Chairwoman of the House Committee on Small Business, delivered the following statement today at a markup of the Committee's Views and Estimates on the Small Business Administration's (SBA) FY 2011 budget submission: "Today, the Committee meets to consider its Views and Estimates of the Small Business Administration's Fiscal Year 2011 budget. This discussion comes at a time when the economy is beginning to turn a corner. Most Americans, including the President, are looking to entrepreneurs to maintain that momentum. By providing robust funding for small business programs, we can further that progress and keep our recovery strong. . . . keep reading Congress Coughs up Cash for Small Business Loans - CNNMoney The unemployment benefits extension bill -- passed by the Senate and signed by President Obama late Tuesday after Sen. Jim Bunning, R-Ky., dropped his objection -- allocates $60 million to fund the program's subsidies for another month. That's a relief for those left in limbo. On Wednesday, the SBA had 520 loan applications totaling $206 million on hold in its Recovery Loan Queue, awaiting the additional funding from Congress before they could be approved. . . . keep reading Temporary S.B.A. Stimulus Extension Becomes Law With 21 Republicans behind the bill, the vote tally was 78 to 19, and the legislation was signed into law by President Obama late Tuesday. The bill reauthorizes the expired 90-percent guarantee on the S.B.A.'s general business loans through March 28th, and funds this higher guarantee and eliminates borrower fees for both the 7(a) and the 504 loan program with a $60 million appropriation. . . . keep reading A Plea for Direct Lending to Small Businesses - WSJ "The more you look into [direct lending], the more you realize the challenges and consequences it presents. If businesses are being told 'no' because they are not creditworthy and lenders won't make the loan with a 90% SBA guarantee, why should the taxpayers do it with a 100% guarantee," says Jonathan Swain, an SBA representative, in a recent interview. . . . keep reading Senate Passes Extension of Small Business Loan Guarantee Program Through March 28 -- Appropriates Additional $60 Million WASHINGTON, March 2 /PRNewswire-USNewswire/ -- U.S. Senate Committee on Small Business and Entrepreneurship Chair Mary L. Landrieu, D-La., today praised the Senate's temporary extension of two important provisions enacted in the American Recovery and Reinvestment Act: increased government guarantees and eliminated fees on small business loans. The programs were extended for 30 days. "Despite the repeated opposition from one Republican senator, it is good that this vital bill has passed. In addition to extending basic benefits for out-of-work families, the bill temporarily extends successful Recovery Act provisions. . . . keep reading Upticks Since '08 Signal Small-Business Lending Is on the Mend Steve Doss, Wells Fargo's regional sales manager for SBA-backed loans, said the fourth quarter in his Southern California territory was "almost flat" over the same 2008 period for loan volume. "We're not seeing more volume, but there are more lenders involved," said Doss. "They're getting back into competing against us." Meanwhile, in January, small-business loan applications almost doubled for Wells Fargo from the same month last year. And Doss figures that's likely how 2010 will shape up over last year. . . . keep reading SBA Names USC CU Financial Services Champion The $350 million USC Credit Union was recently named the 2010 Financial Services Champion of the Year by the SBA's Los Angeles district office. "Through the work of lenders and advocates like yourself, jobs are created, families live fuller lives and whole communities are transformed. I am grateful to see that USC Credit Union is being recognized for its important role in building the American economy. We all applaud your well deserved recognition," said Albert Alvarado, district director of the SBA Los Angeles district office. . . . keep reading SBA Stimulus Loan Helps Oregon Contractor Business is still slower than it had been and all the offices still aren't full in the new building. But DL Cook is open. "If I hadn't gotten that loan, we would have had to shut down," Cook said. "It was a life-saver." . . . keep reading No Consensus Yet on SBA Lending Fix There is a lot of talk in Washington about increasing lending limits for the Small Business Administration, but so far gridlock and inaction are keeping more money from being put into the program. As a lot of other lending dried up during the credit crunch, the SBA saw its loans take off. Now that success again has drained the program of its appropriation, thus its ability, to make loans. . . . keep reading HarborOne gets SBA preferred status "Access to financing is critical to the success of local companies" said James W. Blake, HarborOne president and CEO. "As an SBA Preferred Lender, we can now offer expanded opportunities for financing, allowing those companies to prosper, and helping to preserve and create new jobs in our community." The credit union's commercial lending team is under the direction of Senior Vice President Friend Weiler. . . . keep reading Congresswoman Melissa Bean Calls for Action on Small Business Credit Legislation A long-time advocate of small businesses as the engine for economic growth and increased employment, Congresswoman Melissa Bean (IL-08) urged colleagues to continue and expand upon successful measures to increase access to capital for small businesses, including her Express Loans Improvement Act. Bean joined colleagues at a rare joint hearing today of the Financial Services and Small Business committees. Bean sits on both. . . . keep reading More

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