The Small Business Administration (SBA) is looking to support $36 billion in small business lending this year. And while SBA loans by credit unions have grown from $801 million to $1.2 billion in the past four years, there is a vast untapped capacity for credit unions to make more of these types of loans.
Traditionally, many credit unions have not taken part in this type of lending due to the cost of investment to put an SBA infrastructure in place.
Enter LEVERAGE Business Lending.
Through LEVERAGE Business Lending, credit unions can offer SBA loans without a significant investment but with all of the expertise and compliance required of these types of loans. This program supplies the expertise, training, and staff consultation needed to help credit unions offer SBA loans. Plus, it ensures the loans are serviced properly to help protect the SBA guarantee.
As the economy keeps improving, more small businesses are looking for loans to expand. LEVERAGE Business Lending can help diversify a credit union’s portfolio and meet the loan needs of small businesses in its community. Credit unions that are looking for non-interest income can benefit by selling the guaranteed portion of these loans on the secondary market which sells at a significant premium.
Through its partnership with Capital Growth Solutions, LLC, LEVERAGE‘s business lending program provides more than a century of experience with working with the SBA and lenders to help small businesses succeed. To find out how to get started with LEVERAGE Business Lending or to learn more about the program, contact your LEVERAGE business development consultant.