Walter Perry III, district director for the U.S. Small Business AdministrationDollar bill in hand, U.S. Small Business Administration District Director Walter Perry lifted the microphone to his mouth as more than 40 regional bankers looked on.
“Let’s talk about deals,” Perry said, waving the bill.
Perry wants banks to increase their use of the federal agency’s flagship product, the government-guaranteed small business loan. Through the program, the U.S. Treasury guarantees up to 90 percent of the loans to small businesses, reducing risk for bankers.
That’s a big plus in an environment where most bankers say regulators have tightened the rules for making loans after the financial panic of 2008.
Although the SBA process has been lengthy and paperwork-intensive in years past, Perry said that the agency has streamlined loan applications by launching an online site, which he says 80 percent of banks now use.