KANSAS CITY, Mo. -- The Small Business Administration selected Mazuma Credit Union as a 7(a) program Express lender.
The $300 million credit union wasted no time in issuing its first Express loan, which closed June 1. The loan was written for LET Mechanical, a minority-owned plumbing and HVAC contractor; and a subcontractor for VSI Meter Services, Inc. VSI Meter is working a contract for Kansas City installing wireless meters in 1,500 homes. The loan, a working capital line of credit to support payroll, allowed LET Mechanical to hire eight new employees for the contract.
"Having the ability to work with SBA Express loans allows us the opportunity to better support small businesses throughout the Kansas City area," said Rob Givens, president of Mazuma CU.
The SBA Express lender program allows for a maximum loan of $350,000 with a SBA guaranty of 50%. The interest rate charged is negotiated between the lender and borrower. The SBA determines eligibility, and Mazuma said it can turn the loan around in 36 hours.