UCEDC Wins Silver in New Jersey SBA Lending

Loan programs provide access to capital to under-served small businesses

UCEDC, a statewide nonprofit economic development corporation, was recognized with a Silver Award in lending at the US Small Business Administration’s Annual Lenders Awards Ceremony last month.  UCEDC achieved this distinction by making 74 loans in fiscal year 2014 to small businesses throughout New Jersey, totaling $11.8 million.

UCEDC joined a select group of only six other commercial and nonprofit lenders in the SBA ranking through its Microloan, Community Advantage 7a and 504 SBA financing programs. These loan vehicles provide small businesses with much-needed access to capital to start and grow their operations.

“We’re proud to be recognized for our efforts in 2014”, says Maureen Tinen, UCEDC President.  “With loan programs from $5,000 to $5 million, we were able to help fledgling entrepreneurs as well as long-time business owners and everybody in-between.  The common element among them all was a sustainable business model, job creation, and a commitment to their community.”

The Microloan program provides loans up to $50,000 to help small businesses and certain not-for-profit childcare centers to start-up and expand when they can’t qualify for conventional lending.   Borrowers receive free individualized counseling and mentoring services throughout the life of the loan (typically six years).

The Community Advantage 7a program offers financing up to $250,000 to established and start-up (in business less than two years) operations.  With low down payments and flexible collateral requirements, this program is designed to help businesses that are ready to grow but cannot qualify for conventional lending.

The 504 Commercial Real Estate program helps small business owners finance the purchase, construction or improvement of owner-occupied property and/or the purchase of major equipment.  With down payments as low as 10% and financing of fees and closing costs, the 504 program is an attractive option for borrowers who want to conserve their working capital.

Since its inception in 1977, UCEDC has helped to create and retain thousands of jobs in communities throughout New Jersey through its lending services.  It also serves as the entrepreneurial training arm of the New Jersey Economic Development Authority and is a Department of Defense-designated Procurement Technical Assistance Center (PTAC).