SMALL BUSINESS LOANS PROGRAM HELPS BUILD COMMUNITIES

An initiative that is successfully spurring small business growth and creating jobs in rural communities posted another successful year.

Through the Small Business Loans Association Program (SBLA), community organizations lent more than $3.4 million during 2003/2004 to 487 start up and non-traditional businesses throughout the province. The program, which is government-administered and community-delivered, contributed to the creation or maintenance of more than 1,100 jobs last fiscal year, predominantly in rural communities.

"Small business grows jobs, creates opportunities and strengthens communities, particularly in rural areas," Industry and Resources Minister Eric Cline said. "The SBLA program supports these contributions and our small businesses by providing accessible loans to Saskatchewan entrepreneurs."

Community-based groups, co-operatives, corporations, Rural Development Corporations or Regional Economic Development Authorities can form SBLAs.

There are currently 239 active SBLAs in the province, each with access to a revolving line of credit of up to $100,000 from Industry and Resources. The associations in turn make loans of up to $10,000 to new and existing businesses that are not eligible for financing through traditional means.

The province is expanding the program to place more of an emphasis on nurturing young entrepreneurs and there are plans to increase the maximum loan amount to $15,000.

Since the program's inception in 1989, more than $46 million has been loaned to 8,721 new and existing businesses, creating or maintaining over 19,000 jobs.

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For More Information, Contact:

Bob Ellis Industry and Resources Regina Phone: (306) 787-8277