BIRMINGHAM, AL (WBRC) - Some local community banks are partnering with the Small Business Administration to help small businesses take advantage of affordable loans to expand as the economy tries to recover.
Many economists believe it will be small businesses that help lead the
country out of recession if or when they begin hiring again.
But many of those businesses ready to expand are having a hard time finding the money.
At Hollywood Imports in Vestavia Hills, owner Michael Schefano was ready to buy the building he'd been renting, but had a hard time finding a bank willing to loan him the money, until he hooked up with a Small Business Administration lender.
"As we looked around this was about the only thing out there," Schefano said.
"We came together and found a financial package that worked for the
benefit of the borrower," said Alabama Small Business Capital Vice
President Angie Winter.
Community bank SouthCity was willing to help with the loan.
"We keep hearing that banks aren't lending, and i don't think that's true in this market," said Elam Holley, SouthCity's president. "We at SouthCity and other banks are ready to lend to people who are obviously qualified for the credit."
"We're seeing much increased activity all over the state," Winter said. "Things all the way from Baldwin county to Huntsville. We've just been really really busy with new applications coming in, so it's taken off."