Today, there are an estimated 33 million small businesses in the U.S., according to the U.S. Small Business Administration (SBA). In fact, according to the U.S. Census Bureau, over the last three years the average number of new business applications has reached 440,000, a 46% increase between 2017 and 2020. These businesses need fast, affordable financing to develop and grow.
Credit unions have long played a vital role in providing financial services to communities. However, in the evolving financial landscape, they face significant challenges, including continued liquidity constraints and margin compression. One powerful tool that can help credit unions drive growth and enhance their competitive edge is the SBA's 504 Loan Program. 504 Loans allow credit unions to expand their loan portfolio, manage collateral risk, drive fee income and grow member acquisition while members benefit from access to capital with minimal equity requirements, a broad range of eligible uses, extended repayment terms and competitive interest rates.
Read full article: https://www.cutimes.com/2024/07/17/how-sba-504-loans-can-drive-growth-for-credit-unions/?slreturn=20241205175943
This article was originally published on https://www.cutimes.com. Accessed on Dec 6 , 2024.
