MetroAction Receives SBA Funding
On November 13, the U.S. Small Business Administration’s (SBA) Philadelphia District Office commemorated the continued growth of MetroAction’s microloan program. At the ceremony, SBA Philadelphia District Director David Dickson presented a ceremonial check to MetroAction representatives.
“We are really excited about the continued growth of MetroAction’s SBA-funded microloan program,” said Dickson. “In this type of an economic climate, small business owners need access to capital to start their businesses and keep them growing. SBA programs like the microloan program help keep those lifelines open and I am happy that MetroAction is a part of these efforts.”
Kristine Augustine, Vice President of Business and Community Development for MetroAction agreed, stating that “MetroAction is proud to partner with the SBA to help even more of our clients who are small business owners.”
MetroAction is a non-profit community development organization dedicated to providing small business financing, counseling, training and recognition throughout eight counties in northeastern Pennsylvania, including Carbon, Lackawanna, Luzerne, Monroe, Pike, Susquehanna, Wayne and Wyoming counties. MetroAction contributes to the economic development of the region by providing loans and counseling to small businesses that do not have access to traditional sources of credit. Since its inception in 1997, MetroAction has provided over $2.7 million in small loans to nearly 200 entrepreneurs that do not have access to traditional sources of credit and has trained and counseled thousands of entrepreneurs and business professionals. MetroAction’s clients range from child care providers to restaurants and retail businesses to manufacturers and agricultural businesses. These entrepreneurs have transformed capital into local economic development, positive community change, and self-sufficiency.
MetroAction is a federally certified and state accredited Community Development Financial Institution (CDFI), and is an authorized lender for the U.S. Small Business Administration (SBA) Microloan Program and the U.S. Department of Agriculture’s Rural Development Program.
The SBA’s Microloan Program provides small loans ranging from under $500.00 to $35,000.00. Under this program the SBA makes funds available to nonprofit intermediaries that, in turn, make the loans directly to entrepreneurs, including veterans. Proceeds can be used for typical business purposes such as working capital, machinery and equipment, inventory and leasehold improvements. Interest rates are negotiated between the borrower and the intermediary.