More money for small businesses

Looks like there is some good news for small businesses as we head into 2010. The U.S. Congress has approved an increase in funding for the Small Business Administration (SBA) according to a New York Times article.

Part of that money will be used to hire more employees, which should hopefully speed the application and approval process. But there should also be more money available for loans at a lower cost. The government is also looking into continuing to guarantee 7(a) loans at 90 percent, which makes them a lot more palatable to local banks that are still reeling from the collapse of the loan market in 2008.

Running a small business can be financially challenging even in good economic times. In the current economy it’s downright nerve-wracking. These increases to the SBA, along with a continuation of the stimulus package (hopefully), should help ease some of the burden.

Have you taken advantage of an SBA loan yet, either a regular loan or one of the microloans they’re offering? If so, what has been your experience?