Released on July 21, 2005
The Small Business Loans Association Program (SBLA), an initiative that encourages small business growth and job creation in rural communities, has increased both the number of loan clients and dollars being invested in small businesses across the province.For the three-month period, April to June 2005, the program processed 165 loans totalling $1.63 million, compared to 143 loans totalling $1.1 million during the same period last year.
"This program encourages entrepreneurs to create opportunities and jobs, thereby strengthening our rural communities," Rural Development Minister Clay Serby said. "By increasing the client loan from $10,000 to $15,000, we have made the program more flexible and attractive."
The SBLA program is government administered and delivered in the community through local groups, co-operatives, corporations, Rural Development Corporations and Regional Economic Development Authorities. There are currently more than 230 active loan associations which can each access up to $200,000 through a revolving line of credit.
"My SBLA loan gives me far more flexibility than a regular loan," Freedom Heated Clothing Inc. of Esterhazy owner Ken Kaczur said. "When you're starting a small business, that kind of flexibility is very important."
Since the program's inception in 1989, more than $52.7 million has been loaned to 9,490 existing and new businesses, creating or maintaining more than 20,000 jobs. On an annual basis, more than 90 per cent of the loans go to businesses in rural communities.
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For More Information, Contact:
| Scott Brown Rural Development Regina Phone: (306) 787-4031 |