SBA To Attempt Another Try at Freeing Secondary Market

Karen Mills, administrator for the Small Business Administration, visited Arizona to address a large group of small business lenders.

Nationally, the SBA said, loan volumes were down 27 percent from the previous fiscal year [ending at the end of September]. It was a tale of two very different periods, Mills told the lenders. Starting in October 2008, lending froze and loan volumes fell in half, she said, and after the stimulus bill was approved, lending increased. More importantly, she said, it brought more than 1,200 lenders back into the SBA market, half of whom had not made an SBA loan since 2007. - AZCentral

Mills said that the SBA will soon launch a program that should free up the secondary market for the agency's CDC/504 loans, which should jump start small business loans.

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