SBA 504 Loans - New Info On Increased Loan Limits

The U.S. Small Business Administration (SBA) recently announced that the limits of some of its loan programs had been increased as per the new loan limits outlined in the Small Business Jobs Act of 2010, which was recently signed into law by President Obama. The most significant increases in loan limits made as a result of the Small Business Jobs Act of 2010 was the increase in the amount of money made available to small businesses through the SBA 7(a) and SBA 504 loan programs, from $2 million to $5 million. Microloan limits were also raised from $35,000 to $50,000, whilst the limit on Export Express loans was also increased from $250,000 to $500,000.

Karen Mills, the SBA Administrator, issued the following statement regarding these new, higher loan limits that have been made available to small businesses across the United States: “Across the country, there are small businesses owners who are in a position to take that next step to grow and create jobs, and these larger loan sizes provide another tool to help them do just that. Whether they’re in the start-up phase and could use a microloan or are looking to take advantage of lower real estate prices and interest rates to buy a new building to expand, SBA loans can now be an even greater resource to help entrepreneurs and small business owners get the capital they need. Additionally, temporarily increasing the cap on SBA Express loans from $350,000 to $1 million will allow more small businesses to take advantage of the streamlined approval process for working lines of credit and other capital they need.”