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SBA’s Eastern Pa. District Loan Programs At All-Time High; Lehigh Valley sees increase in fiscal year 2017

Lehigh Valley sees increase in fiscal year 2017 compared to last year’s record-setting SBA 7(a) lending; More than half billion dollars in loans to Eastern Pa. small businesses last fiscal year
Release Date: 
Tuesday, October 17, 2017
Release Number: 
20171017-003
Contact: 
Robert Goza (610) 382-3084 | robert.goza@sba.gov

LEHIGH VALLEY – The U.S. Small Business Administration’s loan programs in the Eastern Pennsylvania District lent more dollars to small businesses in FY 2017 than in any time in the agency’s history – breaking the previous year’s all-time high. In the Lehigh Valley, SBA’s 7(a) Guaranteed Loan Program loaned more dollars in fiscal year 2017, compared to last fiscal year’s District-wide record-breaking lending.

SBA’s 7(a) program lending partners loaned more dollars during fiscal year 2017 to small businesses in the Lehigh Valley (in Berks, Carbon, Lehigh, Northampton and Schuylkill counties). SBA 7(a) lending in the area is up 19% in dollars loaned and down 12% in number of loans compared to the same time period last fiscal year, from Oct. 1, 2016 to Sept. 30, 2017, corresponding to 35% higher average loan sizes. In fiscal year 2017, the Lehigh Valley saw 181 loans for $61.4 million with an average loan size of $339,444 in SBA’s 7(a) program, compared to 205 loans for $51.4 million with an average loan size of $250,898 during the same period last year.

“The strength of SBA lending in Eastern Pennsylvania is a direct reflection of the strong relationships SBA enjoys with our lending partners as well as the success of our lender education and outreach efforts,” said Director Antonio (Tony) Leta, SBA Eastern Pennsylvania District. "Our numbers this year are even stronger than last year, when lending in our District was at an all-time high for SBA’s flagship 7(a) program. Again this year more than half a billion SBA-backed dollars were loaned to small businesses. This is amazingly good news for small businesses and their communities. Ensuring small businesses can get the loans they need is a very important role for SBA and in my District, because capital is essential for small business success and growth.”

In SBA’s efforts to help small businesses across the nation, lenders play an essential role. Through its lending partners, SBA-backed loans provide small businesses with access to capital that can cover the vast majority of business expenses, including short and long-term working capital, exports, and even refinancing existing debt under certain conditions.

SBA’s 7(a) program lending for fiscal year 2017 in the 40 counties of the Eastern Pennsylvania District is up 3% for $526.3 million total dollars loaned – the strongest year on record. These loan dollars encompassed 1,513 total loans, leading to an average loan size of $347,883. During fiscal year 2016, SBA’s 7(a) program saw 1,532 loans totaling more than $512.2 million – resulting in the previously strongest year on record. 

In fiscal year 2017 the agency’s 504 Certified Development Company Loan Program, which provides growing businesses with long-term fixed-rate financing for major fixed assets such as land and buildings is also up 12% in dollars loaned across the District, with 74 loans totaling $59.3 million in eastern Pennsylvania, up from 68 loans for $52.8 million dollars and an average loan size of $802,351.

For more information on SBA Eastern Pennsylvania District loan volume, visit SBA Eastern Pennsylvania District Loan Volume Report Fiscal Year 2017 (10/1/2016 to 03/31/2017).

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