New Report Reveals Historic Surge in Small Business Financing and highlights continued growth in Vermont lending
Vermont Business Magazine This week, Vice President Kamala Harris and Administrator Isabel Casillas Guzman, head of the U.S. Small Business Administration (SBA) and the voice for America’s more than 34 million small businesses in President Biden’s Cabinet, announced that the SBA delivered a transformative $56 billion to small businesses and disaster-impacted communities in Fiscal Year 2024 (FY24). The FY24 Capital Impact Report shows that the Agency increased its annual capital portfolio – which includes startup, growth, and recovery capital, as well as surety bonds – by 7% over Fiscal Year 2023 (FY23). Moreover, for the first time since 2008, the SBA made more than 100,000 financings to small businesses, representing a 22% increase over FY23 and a 50% increase over 2020.
“Capital is critical to Vermont businesses looking to start, grow, and expand. In FY24 the Vermont District Office increased the number of 504 and Microloans loans, while providing over $36 million in 7(a) loans.” said Vermont District Director Darcy Carter. “SBA loans are made in partnership with our local banks, credit unions, certified development companies and mission-driven lenders, playing a key role in lifting up Vermont businesses.”
SBA’s flagship programs 7(a), 504 and Microloans assisted 209 small businesses, with loan approvals ranging from $5,000 to $3.6 million.
SBA Vermont District Office FY24 lending highlights include:
➢ SBA’s 7(a) Loan Program: 158 approved 7(a) loans, totaling $36 million. 7(a) program assists lenders in making small business loans by guaranteeing the loan.
• TD Bank is the #1 SBA 7(a) lender in Vermont with 36 loans, totaling over $8 million and an average loan size of $223,236.
• Community National Bank ranked #2 with 31 loans, totaling $4.2 million and an average loan size of $137,390.
• Manufacturers and Traders Trust Company ranked #3 with 20 loans, totaling $1.4 million and an average loan size of $71,870.
➢ SBA’s 504 loan program: 16 approved 504 loans, totaling $12.1 million in SBA funding, an increase of 78% over FY23. The SBA 504 loan program is a public-private partnership designed to provide fixed rate financing on large equipment and real estate projects for small businesses. Under this program, 3rd party private lenders provide 50% of the project’s financing, with the SBA supplying 40% and the small business 10%. Through the 504 program the SBA partners with a Certified Development Company (CDC) to support the project.
• Granite State Economic Development Corporation is the #1 SBA 504 lender in Vermont with 14 loans, totaling $7.9 million with an average size of $571,000 of SBA funding.
➢ SBA’S Microloan program: 38 approved microloans, totaling $532,150. The SBA Microloan program provides funds to designated nonprofit community-based lenders with management and technical assistance expertise who administer the program.
• Community Capital of Vermont, Inc is the #1 SBA Microloan lender in Vermont with 24 loans, totaling $359,000 and an average loan size of $14,958.
• Vermont Community Loan Fund, Inc. is the #2 SBA Microloan lender in Vermont with 10 loans, totaling $128,150 and an average loan size of $12,815.
The FY24 Capital Impact Report also revealed the power of the Biden-Harris Administration’s Investing in America Agenda. In 2023 and 2024, construction became the leading industry in the SBA’s 7(a) program, reflecting in part the once-in-a-generation investment in infrastructure and domestic manufacturing since President Biden took office.
View the complete FY24 Capital Impact report, which includes additional data. For complete data on the SBA’s loan programs visit SBA Office Of Capital Access - Dataset - U.S. Small Business Administration (SBA) | Open Data.
Small businesses can visit SBA’s Lender Match page to be matched with participating SBA Lenders that can provide funding with competitive rates and fees.
About the U.S. Small Business Administration
The U.S. Small Business Administration helps power the American dream of business ownership. As the only go-to resource and voice for small businesses backed by the strength of the federal government, the SBA empowers entrepreneurs and small business owners with the resources and support they need to start, grow, or expand their businesses, or recover from a declared disaster. It delivers services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit www.sba.gov.
Source: 10.31.2024. WILLISTON–Vermont SBA
Vermont District Office
U.S. Small Business Administration
Cell (802) 798-6003
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