Thursday, Sep 15 2011 11:47AM
More than $600 million in funding will be provided to 61 community banks nationwide to assist small business owners with loans.
The U.S. Department of the Treasury recently provided 61 community banks nationwide with more than $600 million in funding through the agency's Small Business Lending Fund (SBLF).
President Barack Obama established the SBLF as part of the Small Business Jobs Act, which encourages community banks to enhance lending to small businesses. These loans help businesses expand operations and create new employment opportunities, the Treasury states.
"There is no task more important than strengthening our economy and creating jobs, and this investment in small businesses across the country will help us achieve that goal," said Deputy Secretary of the Treasury Neal S. Wolin. "By incentivizing community banks to extend billions of dollars in much-needed credit to small businesses, the Small Business Lending Fund can spur growth and put Americans back to work in communities nationwide."
Some of the banks to receive funding from the Treasury include CIC Bancshares in Greenwood Village, Colorado, Seacoast Commerce Bank in Chula Vista, California, and Bancorp of Montana Holding Company in Missoula, Montana.
The president's recent jobs legislation may also aid small business owners. President Obama stated the bill would provide tax incentives for small businesses who hire more workers.