Altoona Blair County Development Corporation has been ranked fifth in the state in terms of dollars for small business loan activity for the first half of the federal fiscal year.
“These rankings are based on total volume of Small Business Administration loan dollars applied to certain eligible projects,” said Steve McKnight, ABCD’s director of corporate services and government affairs. “This is a reflection of how many we have done which are 504 eligible for small business expansion.
“Previously, there were territorial restrictions about which entities could administer the program,” explained McKnight. “Now, certified development corporations are able to administer this program.
“We partner with other counties through cooperative or informal agreements. We are now involved with 21 other counties including all the surrounding counties.”
ABCD recently expanded its county partner base.
The National Association of Development Companies described the role of a certified development company in the SBA’s 504 program, in information on its web site at www.nadco.org.
Companies like ABCD are regional economic development organizations licensed by the U.S. Small Business Administration. Each one of these has a geographic territory covering one or more counties. Certified development companies make loans under the SBA 504 loan program to assist small businesses. Such organizations also process, approve, close and service the loans. Funding is arranged when a certified development company issues a bond. The company also is the direct lender for the SBA 504 loan program.
Another ABCD official explained the fifth place status in an organization newsletter recently.
“With more than $5.8 million in SBA loan approvals since the start of the federal fiscal year last October, we are seeing a large of amount of eligible small businesses utilizing the SBA loan program options,” said Barry Surma, director of finance and development programs for ABCD.
“Our total loan portfolio now totals $13 million and we hope to grow that further by the end of the year,” Surma added.
The SBA 504 program provides funding for land acquisitions, building construction, building purchases, renovations, equipment, leasehold improvements and related project costs.
Among ABCD clients involved or which have been involved in recent capitol improvement projects are the new rides that the DelGrosso Amusement Park is working on for its 2004 season. The new warehouse be constructed at Furrer Beverage, projects at Adera Healthcare’s new corporate facilities and a new Dunkin Donuts under construction near an existing one.
The report covers the Pittsburgh district according to the release from ABCD.
