The SBA said it has launched a new initiative that aims toincrease loans to veterans by $475 million over the next fiveyears.

The Veteran Pledge Initiative involves the SBA and 20 of thecountry's top national, regional and community lenders, the agencysaid.

The SBA said it expects to assist an additional 2,000 veterans inobtaining loans to start or expand small businesses by increasinglending by $475 million over the next five years. This equals a 5%increase above historic veteran lending activity by the SBA,according to the agency.

Among those lenders making the pledge to assist is Newtek Small Business Finance, a subsidiary of Newtek BusinessServices Inc., which is one of CUNA Strategic Services Inc.'s strategic allianceproviders.

While veterans make up a large number of successful small businessowners, the SBA said they often face challenges in raising capitalor have trouble receiving a conventional loan.

Nine percent of small businesses are veteran-owned, according tothe SBA. These 2.45 million veteran-owned businesses employ morethan five million individuals. In the private sectorworkforce, veterans are more likely than those with no active-dutymilitary experience to be self-employed, the agency said.

In addition to working with the country's top 20 lenders, theSBA said approximately 100 additional regional and communitylending partners across the United States will also assist with theVeteran Pledge Initiative.

The initiative complements SBA's existing partnership with theNational Association of Development Companies VetLoan Advantagestrategic initiative that offers small business financing discountsand training to veterans who own businesses or are interested insmall business ownership, the SBA said.

“Our service men and women have made incalculable contributionsand sacrifices for our country, and supporting them as they pursuetheir dreams to start or grow their own business is one of SBA'shighest priorities,” SBA Administrator Karen Mills said.

The 20 lenders that have taken the pledge to work with theSBA on the initiative are:

• Wells Fargo Bank
• JP Morgan Chase Bank
• U.S. Bank
• Huntington National Bank
• Manufacturers and Traders Trust
• Live Oak Bank
• KeyBank
• Newtek Small Business Finance
• Branch Banking and Trust
• TD Bank, National Association
• SunTrust Bank
• Celtic Bank
• First Bank Financial Centre
• Bank of the West
• Ridgestone Bank
• Wilshire State Bank
• BBCN Bank
• PNC Bank
• Hanmi Bank
• Open Bank