Chase Top SBA Loan Lender
Nov 15th, 2010 @ 6:38 AM by Debbie Dragon
Chase just announced that they have more than doubled their SBA or Small Business Lending and will take over as the top SBA lender for the fiscal year. They topped the next lender by helping an additional 250 businesses receive an SBA loan in 2010.
SBA loans are loans that are available for small businesses that might not otherwise be able to get the funding they need. They are distributed through private lenders like Chase, but a certain percentage of each loan is guaranteed through the Small Business Association. This allows lenders to be a bit less stringent on application requirements, as they can afford to take a slightly higher risk. SBA loans have been around for several decades and have helped millions of businesses during that time period.
“The SBA loan program allows us to reach thousands of small businesses that need the financing to run their businesses and meet their payroll, especially during these challenging times,” said Michael Cleary, head of Business Banking at Chase. “Helping small businesses grow is important because they are core to the U.S. economy.”
The numbers show it all. Chase upped their SBA loans in 2010, approving over 3,330 loans which was an increase in 170% over 2009. The total amount lent came to $434 million during the fiscal year 2010, topping the amount they lent in 2009 by 217%. This made Chase the second highest SBA lender in terms of dollar amount this year.
In looking at different states, Chase was top in both SBA lending dollars and number of loans in NY and the top lender as well in the states of Illinois and Arizona. In Texas they were the top lender in some of the larger cities like Dallas and Houston.
Since November 2009 Chase has been focusing more on small business loans and after taking a second look at previously rejected loans they have approved more than $250 million to small businesses.
During the first three quarters of 2010 they spent 7.4 billion in loans to businesses throughout the country that had sales under the $20 million mark. This is up 2 billion from the same time period in 2009 when Chase only approved only 5.4 billion in small business lending.
Debbie Dragon is a full time freelance writer and the co-owner of ReliableWriters.com.