The Small Business Loan Association (SBLA) is available to entrepreneurs with new or existing businesses that may have difficulty accessing traditional financing.
Saskatchewan’s Ministry of Economy has raised the loan limits of the SBLA program to $20,000 per applicant.
The Broadview and District Small Business Loans Co-operative Limited Business first began offering the SBLA in 1991, and has since had approximately 65 small businesses utilize the alternative financing option.
“We have about eight (loans that are ongoing but we have been pretty quiet over the last year and I think it’s because interest rates are so low,” said Janet Wood, loan officer.
“It’s easier to get credit this way,” said Wood. “When it comes to security for the loan we are a lot more lenient (than a bank). We don’t hold property or land.”
The loan process requires an application be made to the Small Business Loans committee. From there, the committee will assess the material and, if they feel it is a viable business opportunity, the papers are forwarded to Enterprise Saskatchewan for consideration and final approval.
The small business loans must be repaid within a five year term and have a fixed interest rate of fiveper cent.
Interest paid on the small business loans is returned to the community and is used for community promotion.
According to the Ministry of the Economy, the SBLA helps diversify Saskatchewan’s economy and bolster community economic development.
For more information visit enterprisesaskatchewan.ca/sbla or contact Wood at 696-2654.