RHODE ISLAND DISTRICT OFFICE
SBA LENDING IN RHODE ISLAND TOPS $18 MILLION SINCE OCTOBER 2012
Providence, R.I. – Rhode Island small business loans approved by the U.S. Small Business Administration have exceeded $18 million dollars for the last quarter of calendar year 2012.
Between October 1 and December 31, 2012, sixty four firms were approved for SBA-guaranteed loans. Those include 64 loans for $15.5 million under the agency’s popular 7(a) program—a 60 percent increase over the same period last year. The loans were obtained through a commercial lender and guaranteed by SBA.
There were 9 loans approved under the SBA 504 loans program, a decrease of four loans compared to the same period last year. This program provides long-term, fixed rate subordinate mortgage financing for acquisition and/or renovation of capital assets including land, buildings, and equipment. The loans are provided by a Certified Development Company and banks and other lenders. The total capital provided to Rhode Island small businesses by the CDCs and participating lenders totaling $5.5 million.
“I am pleased that SBA is making a difference for these 64 Rhode Island small businesses,” said Mark S. Hayward, director of the SBA Rhode Island District Office. “Providing more than $18 million dollars in capital and the creation and retention of nearly 700 jobs will make a significant contribution toward improving the Rhode Island economy.”
Of the 64 firms, 18 are new businesses with $2.7 million in approved loans.
Most of the loans during the quarter went to businesses in Warwick where 11 loans were approved for $3.8 million. Rounding out the top five communities are: Johnston with six loans for $1.57 million; Cranston, 6 loans for $1.1 million; Providence, six loans for $$633,000; and Narragansett with 5, loans for $1.3 million.
The top five 7(a) lenders are:
- BankRI 20 loans $3,136,000
- Coastway Community Bank 10 $1,878,000
- Freedom Bank 5 $1,563,000
- Sovereign Bank 4 $1,642,000
5 Webster Bank 4 $367,000
Three certified development companies produced three 504 loans each. They are New England Certified Development Corporation ($990,000), Ocean State Business Development Authority ($872,000), and Bay Colony Development Corporation ($682,000).
The top two 504 participating lenders are Bank Newport with 4 loans totaling $1.1 million and Coastway Community Bank with 2 loans totaling $710,000.
The SBA Rhode Island lending and lending by Rhode Island city and town reports are available on the Rhode Island District Office Web site at www.sba.gov/ri. Select the reports in the “What’s New” section.