Letter from the CEO: Reflections on 2024

12/27/2024|SomerCor|Lender Resource, SBA 504, SomerCor Updates

It has been a remarkable year for the U.S. Small Business Administration (SBA) 504 loan program and SomerCor. In 2024, the SBA introduced significant enhancements to its premier economic development initiative, including:

Adjusting the loan eligibility Alternative Size Standard for inflation, enabling more mid-sized businesses to qualify for financing.
Modernizing the SBA 504 refinance program to streamline processes and expand borrower eligibility, making it easier for businesses to access equity for working capital.
Lifting the $16.5 million aggregate cap on Energy Public Policy projects (SBA 504 Green Loans), providing financing for unlimited Green Loan projects.
Pairing SBA 504 financing with C-PACE, simplifying and making investments in green technology more affordable for small businesses.
Making the ALP Express Pilot Program permanent, expediting SBA 504 loans under $500,000 to speed up approvals, authorizations, and closings.

This year also marked my six-year anniversary as President & CEO of SomerCor. As the SBA continues to enhance its lending programs, I am incredibly proud of how we have evolved and expanded our impact alongside these developments.

In FY24, SomerCor authorized 113 SBA 504 loans totaling $118.3 million—our fourth consecutive year surpassing the $100 million mark, an historic milestone for our team. Since SomerCor’s founding, we have deployed more than $1.81 billion in SBA loans to 3,873 businesses across 1,790 communities, resulting in the creation of 47,252 jobs.

During my tenure, we have achieved some extraordinary milestones:

Relocated our headquarters to the historic Rookery Building in Chicago.
Earned the prestigious Accredited Lender Program (ALP) designation from the SBA.
Became a Community Advantage Small Business Lending Company (SBLC) to continue offering vital working capital loans.
Expanded our lending footprint to include Indiana (Jasper, Lake, Newton, Porter counties) and Wisconsin (Kenosha, Rock counties).

Looking ahead, we are embarking on an exciting new chapter: SomerCor is now a 501(c)(3) Certified Development Company.

This designation transforms how we can serve our communities. As a charitable organization, we will unlock new partnerships, additional resources, and philanthropic opportunities to further our mission of empowering entrepreneurs and strengthening communities. This shift will enable us to deliver:

Enhanced small business support services;
Expanded loan and grant programs; and
Innovative solutions to support small businesses and drive meaningful economic development.

Becoming a 501(c)(3) underscores our commitment as a premier Certified Development Company to deepening our impact and broadening our reach. We are excited to share updates as we embark on this journey to build a brighter future for small businesses and the communities we serve.

Wishing you a prosperous, peaceful, and healthy 2025. Let’s make Big Things happen – Dream It, Do It!