The U.S. Small Business Administration’s Community Advantage pilot program has reached New Jersey.
The SBA announced Tuesday that Regional Business Assistance Corp., in Mercerville, has been approved as the first New Jersey lender to take part in the program.
RBAC will be able to accept and process Community Advantage loan applications today. The Community Advantage program makes SBA-guaranteed loans of up to $250,000 available through community development financial institutions, certified development companies and SBA’s nonprofit microlending intermediaries.
“(RBAC) started as an SBA microlender, and then became an SBA 504 certified development company,” said Alfred Titone, New Jersey district director for the SBA, in a release. “Becoming an SBA community advantage lender will allow RBAC to provide underserved companies with SBA loans … while receiving the benefit of SBA’s guarantee from 75 percent to 85 percent.”
The program was started to “promote small-business formation and growth in underserved communities” by increasing the availability of smaller loans.