Business financing under two programs backed by the U.S. Small Business Administration decreased nationally during the 2013 fiscal year, but still ranked as the third highest amount in the history of the programs.
The SBA announced that it guaranteed a total of 54,106 loans worth a collective $29.6 billion through its 7 (a) and 504 programs.
While the number of loans increased slightly, the combined dollar volume decreased from the the 2012 and record-setting 2011 fiscal years, when $30.25 billion and $30.5 billion in loans were approved, respectively.
“Small businesses are the engine of our economy, and reaching our third highest year of SBA lending in FY 2013 demonstrates the strength and resiliency of America’s 28 million small businesses as they continue to recover from the Great Recession and drive our economy forward,” said Jeanne Hulit, acting SBA administrator.
Changes to the Small Loan Advantage program has resulted in more, smaller loans. In the 2013 fiscal year, the SBA backed almost 5,000 loans worth a total of nearly $745 million through the program.
Under a separate program offering working capital lines of credit, the SBA backed 682 loans worth a total of more than $500 million.
The SBA backed another 7,700 loans through the 504 program worth a collective $11.7 billion.