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For
Immediate Release
Contact:
Kerry Aubry
VEDC
(818) 314-4997 cell
vedcmedia@gmail.com
Van Nuys, CA- The US Small Business Administration has given
its approval for the San Fernando Valley Financial
Development Corporation (SFV-FDC) to operate as a Certified
Development Company. The SBA 504 Certified Development
Company Program provides growing businesses with long-term,
fixed rate financing for major fixed assets, such as land
and buildings. The program is designed to enable small
businesses to buy their own buildings with a 10% down
payment. The SFV-FDC is the only 504 CDC in the Greater San
Fernando Valley area.
The 504 Loan Program allows small business owners to
purchase an industrial or commercial building at
below-market interest rates. The loan may also be used to
purchase or remodel an existing building, construct a new
facility or to purchase equipment that has an economic life
of at least 10 years. The CDC/504 loan program is a
long-term financing tool for economic development within a
community. The goal of a Certified Development Company is to
contribute to the economic development of its community.
CDCs work with the SBA and private-sector lenders to provide
financing to small businesses.
Alberto G. Alvarado, District Director for the Los Angeles
Office of the SBA says, “We are proud to welcome SFV-FDC to
our family of CDCs providing lending services to our local
entrepreneurs. SBA applauds SFV-FDC for their expressed
willingness to fund underserved businesses in the greater
San Fernando Valley to ultimately create jobs and improve
neighborhoods.”
The SFV FDC, an affiliate program of the Valley Economic
Development Center, administers the State Loan Guarantee
Program with the support of the California Business
Transportation and Housing Agency. The California Loan
Guarantee Program enables businesses to obtain term loans,
lines of credit or letters of credit for which they could
not otherwise qualify. Since its inception, the SFV-FDC has
secured bank loan guarantees for 164 businesses totaling
over $30 million in loans, resulting in the creation and
retention of 3,200 jobs in Los Angeles and Ventura County
area.
Roberto Barragan, President of the SFV-FDC says of this
distinction, “After over two years and countless man-hours
by dedicated staff, the Board of Directors and I are proud
to say that we have achieved a five year dream, to become
the first new Certified Development Corporation licensed in
almost 25 years in the Los Angeles region. Along with our
existing state guarantee program, we will seek to support
over $50 million in new lending over the next year. We look
forward to working with all area banks, national, regional,
and denovo to provide 504 lending to businesses seeking to
own their own building.” |
