South Dakota Office of Small Business Administration awards awards to lenders

0

The US Small Business Administration’s South Dakota District Office honors four lenders for their commitment to small businesses in the fiscal year ending September 30, 2021, during a virtual celebration on February 17, 2022 at 10:00 a.m. CST . The public is invited to join http://ow.ly/36x050HW1VV.

“SBA’s lender relationships are among the most important tools we have to help small businesses start, grow and succeed,” said Jaime Wood, SBA District Manager in North Dakota. South. “The SBA guarantees the loans, but ultimately it’s the banks, credit unions and community lenders that put the capital in the hands of business owners. These dollars enable small businesses to provide more consumer products and services, jobs, expanded facilities and create better communities.

Winners of the SBA SD 2021 Leadership in Lending Awards:

  • Black Hills Federal Credit Union and The First National Bank in Sioux Falls tied for the most SBA 7(a) loans. Each lender made 20 7(a) loans:
    • Black Hills FCU made 20 7(a) loans for $7.5 million. These loans have supported 131 jobs in various sectors, including construction, manufacturing, health care and retail.
    • First National Bank in Sioux Falls made 20 7(a) loans for $3 million. These loans spanned sectors as diverse as retail, information technology, wholesale and transportation, and supported 121 jobs.
  • Byline Bank, based in Illinois, completed the highest volume of SBA 7(a) loans in South Dakota, disbursing five loans for $8.9 million. These loans supported 47 jobs and included a $3 million 7(a) loan in a central rural area and a $2.5 million loan, supporting $2 million in exports to Canada, Mexico and Saudi Arabia.
  • Dakota Business Finance, an SBA-certified development corporation, has issued 95 SBA 504 loans in 20 of the state’s 66 counties for a total of $65 million. The loans supported 880 jobs and included seven veteran-owned business loans, 16 rural business loans and 29 HUBZone business loans.

“Fiscal 2021 was an active year for SBA-backed loans in the state,” Wood said. “About $182 million was made available to South Dakota businesses through the 504, 7(a) and Microloan programs.” Wood noted high utilization with seven certified development companies, forty-three 7(a) lenders and one microlender participating in SBA’s guaranteed loan programs.

More information on SBA-backed loans:

The 504 Loan Program provides long-term, fixed-rate financing of up to $5 million for major capital assets that support business growth and job creation. 504 loans are available through Certified Development Corporations, SBA Community Partners who regulate nonprofit organizations and promote economic development within their communities. CDCs are certified and regulated by the SBA.

The 7(a) Loan Program is the SBA’s primary program for providing financial assistance to small businesses and offers guarantees on small business loans up to $5 million on reasonable terms. SBA 7(a) loans are commonly used for land acquisition, equipment purchase, or working capital.

The microcredit program offers loans of up to $50,000 to help small businesses and some non-profit child care centers start up and expand. The SBA provides funds to specially designated intermediary lenders, which are community-based nonprofit organizations with experience in lending as well as management and technical assistance. These intermediaries administer the microcredit program for eligible borrowers. GROW South Dakota is the SBA’s microcredit intermediary in South Dakota.

Share.

Comments are closed.