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The Small Business Administration (SBA) announced Thursday that studies by the nonpartisan Urban Institute have found that SBA programs are more effective than conventional loans in reaching minorities, women and start-ups, and that SBA loans are a key financing tool for creditworthy small businesses that nevertheless do not meet conventional underwriting standards.The studies were commissioned by the SBA to study the agency’s lending effectiveness, and also showed that during the period studied, 18.8 percent of firms that received a conventional small business loan with a term greater than one year got an SBA backed loan.In Los Alamos, the picture is somewhat different, in that very few SBA-backed loans are being sought.
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