Chicago — Accion, a nonprofit microfinance leader, has increased the volume of small business loans available at lower interest rates in Northwest Indiana through a partnership with the U.S. Small Business Administration (SBA).
Small business owners and bankers are invited to attend the grand launch of this program on June 26 to learn more about Accion small business loan eligibility. The event will be an open house hosted by the Northwest Indiana Small Business Development Center (SBDC) in Crown Point, IN, Accion’s local business education partner.
Effective May 2012, Accion is now an SBA Microlender Intermediary in Indiana, which allows it to make small business loans at rates as low as 8.87% for qualified borrowers.
The SBA’s Microloan Program was developed to increase the availability of smaller business loans to prospective small business borrowers. Under this program, the SBA makes funds available to nonprofit intermediaries, like Accion, which in turn make loans to eligible borrowers.
Accion makes $500 to $50,000 loans in Lake County and Porter County to existing and start-up small businesses that have been unable to get bank financing. In an effort to increase small business success in Lake and Porter counties, Accion expanded its services into Indiana in 2008. Since that time, Accion has accomplished steady growth, providing 30 small business loans totaling $210,846 by the end of 2011.
“It does not matter what your profits are, if you do not have enough capital and your business is under-funded, you can fall into some hard times,” said George Huskisson, owner of Hammond Fence of Indiana, Inc, and an Accion client. “My Accion loan could not have come at a better time.”
For more information about Accion’s small business loan requirements and how to apply, visit www.accionchicago.org.
Accion Chicago is a member of the Accion U.S. Network, the largest microfinance network in the United States. Since its founding in 1991, members have collectively lent $305 million to small business owners nationwide. Accion Chicago has disbursed more than $20 million to over 2,600 clients since 1994. Last year, Accion Chicago originated 301 loans in Northwest Indiana and the Chicagoland area worth more than $2 million. From 2010 through the first three quarters of 2011, loans originated by Accion have created or retained more than 1,000 jobs.