IE Business Daily Business news for the Inland Empire.
Recent changes to federal regulations regarding small business loans might be paying off in the Inland Empire.
CDC Small Business Finance in San Diego approved $36.6 million worth of loans to small businesses in Riverside and San Bernardino counties during the first four months of this year, according to a company statement.
Lower interest rates were one reason for that solid quarter, but another was the U.S. Small Business Administration’s decision to eliminate a ban on owners of small businesses with a high net worth to use SBA-504 loans, said Phil Mulder, Inland Empire loan officer with CDC Small Business.
“[Interest] rates are a factor, but recent SBA rule changes are making it easier for more small business entrepreneurs to qualify for SBA-504 financing to buy or construct their own facilities,” Mulder said in the statement.
SBA-504 loans are distributed through a partnership of banks and certified development companies like CDC Small Business. Businesses use them to pay for fixed entities like buildings, land or equipment.
