Small businesses in the Tri-State appear to be using more SBA 504 loans on average than business nationally, signaling positive local commercial activity.
HCDC’s SBA 504 loan amounts are up by more than 60% in the first seven months of FY 2014, while the lending rate dipped nationally by 22%. HCDC compared SBA 504 loan data from October 2013 to April 2014 that shows the SBA 504 program is down by about $636 million in loans from $2.91 to $2.28 Billion. Meanwhile, HCDC lending has picked up from $4.8 million in the first half of 2013 to $7.79 in 2014.
The increase in local SBA 504 lending hints to more confidence among business owners in Greater Cincinnati.
“It’s a sign that businesses are starting to spend money and make long-term investments in our communities,” said David K. Main.
Because SBA 504 loans are tied to job creation, more borrowing means more hiring. For the first 7 months FY 2014, approximately 120 jobs will be created from the approved loans.
For more information on SBA 504 Loan, check out HCDC Business Lending.