The Indiana Statewide Certified Development Corporation funded more than $17 million to 38 Indiana small businesses in fiscal year 2013. The total amount of $17,912,000 was provided by the Indiana Statewide CDC through the U.S. Small Business Administration 504 loan program.
The loans are expected to create or save more than 275 jobs in Indiana.
Other loans approved by the Indiana Statewide CDC in 2013 will be funded in coming months. During the 2013 fiscal year 46 loans were approved for $27,285,000. FY 2013 ended September 30.
Indiana Statewide CDC partners with local lenders to provide SBA 504 loans to owners of small businesses. SBA 504 loans put small business owners on the same footing as large companies with long-term, fixed rate financing and a low down payment. Indiana Statewide CDC is the state’s largest provider of SBA 504 loans, investing over $411 million in more than 1,050 Indiana companies, creating or saving 27,000 jobs since 1983. This funding has been part of total projects that have exceeded $1 billion in capital expansion for Indiana companies
According to the latest report from the SBA, the Indiana Statewide CDC provides the fastest turnaround time for loans in the state: just over five business days, well under the national SBA average of over 10 days.
“Funding and timing are obviously crucial for small businesses,” says Jean Wojtowicz, executive director of the Indiana Statewide CDC. “We make SBA 504 loans available in all areas of Indiana and to all types of companies, including manufacturing, software design, medical devices, law firms, physicians and retailers.”
She says, “Bankers are our eyes and ears on their local businesses, and we give them a great product and personal attention. SBA 504 loans are effective because borrowing companies can put as little as 10 percent down and receive a low, fixed interest rate for as long as 20 years. The SBA guarantees bonds sold privately to finance a portion of the loan. With the guarantee, we can offer loan rates more favorable than conventional financing.”
Nationally, SBA 504 loans have funded over $62 billion to more than 130,000 small businesses. In turn, those small firms have created or retained over 2.1 million jobs for the U.S. economy.