Loans to small business owners were up 16.7% in fiscal year 2024
U.S. Small Business Administration (SBA) lending across Eastern Pennsylvania’s 40 counties increased in fiscal year 2024, which ended Sept. 30.
Approvals for SBA 7(a) Loan Guaranty Program and 504 Loan Program loans were up a combined 16.7% over 2023, the agency reported Friday. Total dollar amounts increased by 5.4% from $677.2 million to $714.3 million.
Approvals of SBA 7(a) loans increased 20%, up 278 approvals from 1,387 to 1,665 while 504 approvals decreased by 31.3% or 30 loan approvals from 96 to 66, according to a press release. Microloan approvals increased 20.4%, from 162 to 195 approvals during the fiscal year, with an average loan size of $9,665.
“In fiscal year 2024, the SBA continued its transformation of lending and investment programs and expanded its capital partners to deliver startup, growth, and recovery to include more small business lending – particularly to people of color, women, and veterans,” John Fleming, SBA Mid-Atlantic regional administrator, said in a statement.
Lending to traditionally underserved borrowers saw substantial growth year-over-year:
• Asian or Pacific Islander small business dollars increased 38.6%, up $34.6 million to $124.3 million
• Black-owned small business dollars increased 49.9%, up $11.8 million to $35.7 million
• Hispanic-owned small business dollars slightly decreased 1.3%, down $430,500 to $33.4 million
• Veteran-owned small business dollars increased 10.6%, up $3 million to $32.1 million
• Women-owned small business dollars increased 30.5%, up $28.7 million to $123.2 million
In addition, during the fiscal year 2024, SBA 7(a) loans under $1 million saw a 19.6% increase in the number of loans — from 1,255 to 1,501, and a 21.3% increase in dollars from $241.9 million to $293.5 million, the agency reported.
“This year we also saw an increase in the number of SBA 7(a) lenders making 7(a) loans, with 121 lenders compared to 107 the prior year,” Steve Dixel, SBA Eastern Pennsylvania district director, said in a statement. “SBA’s 7(a) lending programs provided much-needed capital to small businesses, demonstrating our commitment to our communities and the economy.”
A total of 1,665 SBA 7(a) Guaranty Program loans were approved in Eastern Pennsylvania, totaling $657.6 million. The 504 Loan Program approved 66 loans, while the SBA Microloan Program, through nine microloan intermediaries, approved 195 loans.
