skip to Main Content
MSJ NEWS see latest news

SBA Reaffirms Commitment to Helping Underserved Entrepreneurs Access Financing

  • SBA Administrator Isabella Casillas Guzman describes the pursuit of equitable lending practices as her “north star”
  • Guzman reiterates commitment in review of SBA’s fiscal year data for traditional loan programs, which approved $44.8 billion through more than 61,000 loans
  • 504 loan program sees strong growth and exhausts its funding for first time in program history

Summary by Dirk Langeveld

U.S. Small Business Administrator Isabella Casillas Guzman reaffirmed her commitment to pursuing more equitable lending practices in the agency’s financing program, describing it as her “north star.”

Guzman, in summarizing the agency’s lending for the 2021 fiscal year, said SBA loan programs are an important source of credit for small businesses, especially those who can provide capital and demonstrate revenue but are still denied a loan through a commercial bank. She said equity issues will remain a priority for her in the 2022 fiscal year.

“While progress has been made, our data also tells a deeper story:  historic inequities in accessing capital persist, and we must do more to lower the barriers of entry to opportunity for all our entrepreneurs,” said Guzman. “We will continue to build on our impactful programs to meet small businesses where they are and connect them with the resources needed to thrive.”

  • In the 2021 fiscal year, the SBA approved $44.8 billion through more than 61,000 traditional loans; this funding is in addition to the more than $1.1 trillion in COVID-19 relief funding the SBA has administered since the start of the pandemic
  • Nearly 52,000 7(a) loans totaling more than $36.5 billion were approved, including almost $11 billion for minority business owners, $5 billion for women business owners, and $1.2 billion for veteran business owners
  • The 504 loan program grew in volume by 41 percent and fully exhausted its funding for the first time in the program’s history; about 9,600 loans totaling more than $8.2 billion were approved, including $1.88 billion to minority business owners and $712 million to women business owners
  • $71.8 million in microloans were approved to 4,400 small business owners, 41 percent of whom were in underserved communities
  • Guzman said loans issued to the smallest borrowers through the SBA’s 7(a), Express, and Community Advantage programs have decreased by 45 percent over the past five years

Spread the Word

More To Explore

Expert Summaries

Know Your Competitors

By Denis Jakuc 

There are tons of benefits to knowing who your competitors are—what they’re offering, their strengths and weaknesses. That knowledge can help you make your products and services stand out,

Latest News

Join with Free InnovatorsLINK Account

Start accessing all the free member benefits and valuable content on the InnovatorsLINK platform. Create a BizLINK listing to boost brand exposure, receive the weekly Main Street Journal newsletter, engage in forums, get full access to free content, and more.