The Small Business Administration announced a new measure to help get more small business loans into the hands of veterans.
The agency said Friday it will set the borrower upfront fee to zero for all veteran loans authorized under the SBA Express program up to $350,000. The initiative will start on Jan. 1, 2014 and continue through the end of the fiscal year.
Of all SBA loans that go to veterans, 73% are $350,000 and below, the SBA said. The agency’s Express Loan Program, which supports loans under that amount, is SBA’s most popular loan delivery method, with nearly 60% of all 7(a) loans over the past decade being authorized through the program, according to the SBA.
The announcement comes during SBA’s National Veterans Small Business Week, an initiative on the part of the agency’s efforts to reach out to veteran entrepreneurs and business owners.
“Our nation’s veterans are highly-skilled and highly-trained leaders in their communities,” said Acting SBA Administrator Jeanne Hulit. “As we honor our veterans and thank them for their service and sacrifice, let’s continue to identify ways to support them when they come home.”