WASHINGTON — Fiscal year 2006 set records for the Small Business Administration for number of loans and the dollars loaned, the agency said.
The SBA backed a net 100,197 loans totaling $19.1 billion under its two primary small business loan programs during the 12 months ending on Sept. 30. Both the number of loans and the dollar amount is a single-year record, the agency said. The previous records were set last year, when SBA provided a net 94,554 loans worth $18.1 billion under the same two programs.
Both primary loan programs set records this year, according to SBA. The 7(a) loan guaranty program, most often used for working capital, produced 90,477 loans worth $13.46 billion. The Certified Development Company, or 504 program, which is used for the purchase of real estate and fixed assets, provided 9,720 loans worth $5.61 billion.
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A third of the loans in FY 2006 went to minority borrowers, 32% were to new start-up businesses, 22% were to businesses owned by women and 21% were to businesses located in rural areas.
"Before FY 2002, the programs never produced more than 42,000 loans combined," said SBA Administrator Steven Preston. "Since then, loan volume has more than doubled."
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