SBA is working hard to streamline and simplify our programs to provide small businesses with greater access and opportunity to grow and create jobs. A great example of SBA’s efforts is the revamped CAPLines program. Earlier today Jeanne Hulit posted this blog highlighting some of our recent CAPLines successes.
By Jeanne Hulit
In today’s market, even though lending is on the rise, improvement is needed to ensure that our economy is sound and built to last. The SBA, through our loan guaranty programs, works daily to fill the gaps so more Americans can start, and grow small businesses.
The CAPLines loan program is one instrument in the SBA tool kit that businesses are using to get the working capital they need. Designed to help small businesses meet their short-term and long term working capital needs, the program has been reworked over the last year to increase access for potential borrowers. From contracting to purchase orders, CAPLines provides financing through a revolving line of credit. This helps more small businesses get the cash-on-hand to hire more workers or buy the materials they need to help fill an order.
And our efforts to expand the pool of potential borrowers are paying off. To date, we have doubled the amount of loans to borrowers over the last year and CAPLines has seen a 228% increase in approvals and a 127% increase in dollars over the same time period. And we are working with more local banks in your neighborhoods-roughly 87% of approvals and 85% of dollars have gone through community banks (i.e. banks with under $10B in assets).
The SBA and the Obama Administration are committed to helping more small businesses. Small businesses continue to drive the recovery, and they are essential to creating an economy built to last. From the 17 tax cuts for small businesses to programs like CAPLines, more small businesses have the tools they need to grow and create jobs.
This entry was posted on Monday, May 14th, 2012 at 1:00 am and is filed under Financing. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.
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