Brief: Rotary Discusses Small Business Loans

Small business lending was the focus of the program at the Fanwood-Scotch Plains Rotary Club's meeting Wednesday afternoon.

"With the economy the way it is now, I thought this might be a topic our members would like to listen to," program chairman Dick Dobyns told Patch.com. Dobyns invited Ellen McHenry, director of financial programs, and Bill Metz, loan officer, of the Union County Economic Development Corporation (UCEDC), to speak to members.

UCEDC, based in Union and formed in 1977 to help both new and established small businesses in Union County, now offers its services statewide. UCEDC is a direct lender, meaning that they borrow the money to fund loans. As a nonprofit, community-based organization, UCEDC is part of the "microloan" program funded by the U.S. Small Business Administration (SBA). Interest on microloans, which are small loans under $35,000, ranges from 6.75 percent to 10.25, depending on a business' age, operating history and profitability. Business growth loans for established businesses up to $150,000 are available at 7.50 percent. 

Two recent loans involved Scotch Plains businesses, McHenry said: Frank's Auto Repair in Jerseyland, which used their loan to buy a new spray booth, and L&B Printing on Route 22 East, which purchased new printing equipment.

UCEDC offers small businesses comprehensive services, from business mentoring to information and assistance on market data and commercial real estate to training on writing a business plan or land a government contract. For more information, visit www.ucedc.com, or contact Ellen McHenry (emchenry@ucedc.com; 908-527-1166) or Bill Metz at (bmetz@ucedc.com; 908-578-5382).

The Fanwood Scotch Plains Rotary hosts weekly luncheons at the Stage House Restaurant in Scotch Plains. To learn more, visit http://www.fsprotary.org.