SBA Lending in Rhode Island Tops $96 Million Since October 2015

Providence, R.I. – Rhode Island small business loans approved by the U.S. Small Business Administration has totaled 300 thus far and has exceeded $96 million dollars in fiscal year 2016.

Between October 1st, 2015 and May 31, 2016, 260 loans were approved under the popular SBA 7(a) program, up 23% from the same time period in the prior year.

Thirty-five (35) loans have been approved under the SBA 504 loans program, an increase of seven loans or 20 percent compared to the same period in the prior federal fiscal year.  The SBA 504 program provides long-term, fixed rate subordinate mortgage financing for acquisition and/or renovation of capital assets including land, buildings, and equipment.  The loans are provided by a Certified Development Company and banks and other lenders. The total capital provided to Rhode Island small businesses by the CDCs and participating lenders was approximately $23 million.

“I am pleased that SBA is clearly making a difference for these 300 Rhode Island small businesses,” said Mark S. Hayward, director of the SBA Rhode Island District Office.  “This critical capital need will provide additional opportunities including the creation of hundreds of jobs that will help improve the Rhode Island economy.”

Most of the loans during the period have gone to businesses in Providence where 46 loans were approved for over $11.5 million. Rounding out the top five communities are: Warwick with 31 loans for $5.4 million; Cranston, 18 loans for $2.1 million; Pawtucket, 15 loans for $10.4 million; and East Providence with 14 loans for $6.1 million.


The top five 7(a) lenders are:                                           Loans                   Total Amount

  1. Citizens Bank National Association                        34                          $4,227,800
  2. Coastway Community Bank                                     32                           $7,914,300
  3. Bank Rhode Island                                                     31                           $2,428,000
  4. BankNewport                                                              30                           $1,858,200
  5. Independence Bank                                                   29                           $3,935,000

The top five certified development companies produced a total of 35 loans. They are Ocean State Business Development Authority, 15 loans for $11,255,000; Bay Colony Development Corporation, 10 loans for $6,089,000; New England Certified Development Corporation, 6 loans for $3,332,000; Community Investment Corporation, 3 loans for $2,171,000; and South Eastern Economic Development Corporation with 1 loan for $207,000.

The top two 504 participating lenders are Bank Newport with 10 loans totaling $9.4 million and Coastway Community Bank with 5 loans totaling $6 million.

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Avatar About the Author: The Rhode Island Small Business Journal is a printed monthly magazine and an online resource for the aspiring and start-up entrepreneur and small business owner.

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