PAWTUCKET – Pawtucket Credit Union can now approve up to $5 million in commercial loans, as well as SBA Express loans and revolving lines of credit, according to the U.S. Small Business Association.
Pawtucket Credit Union’s approval means more opportunity for the state’s small-business community to gain access that is vital to grow in this challenging economy, Mark S. Hayward, director of the SBA’s Rhode Island district office, said in a statement.
The SBA announced the approval on Oct. 26.
Under the SBA loan program, loan proceeds may be used to establish a new business or to assist in the acquisition, operation or expansion of an existing business. Other eligible uses include:
To purchase land or buildings, to cover new construction as well as expansion or conversion of existing facilities.
The purchase of equipment, machinery, furniture, fixtures, supplies or materials.
Long-term working capital, including the payment of accounts payable and/or the purchase of inventory.
Term working capital needs, including seasonal financing, contract performance, construction financing and export production.
Financing against existing inventory and receivables under special conditions.
The refinancing of existing business indebtedness that is not already structured with reasonable terms and conditions.
To purchase an existing business.
“This is just another step toward Pawtucket Credit Union’s commitment to helping small businesses in all of Rhode Island,” said Karl A. Kozak, Pawtucket Credit Union’s president and CEO.