EDF Newsletter - October 2020 - Continued Low Rates Under 3%, Promotion, New Employee, and Lender Leader Board!

October 2020

October 2020 Interest Rates

25 Year Rates

2.43% - Standard and Refinance

20 Year Rates

2.40% - Standard and Refinance

10 Year Rates

2.28% - Standard and Refinance

*10-year debentures are funded every other month; therefore, the September 2020 10-year rate is quoted above.

Historic Achievement in the 504 Industry

Over 1.2 billion of 504 loans

funded in September 2020

On Wednesday, September 16th, the SBA 504 Loan Program completed its largest monthly funding in the program's 34-year history with 1,462 loans totaling $1,284,274,000 - more than double the previous record set in September 2012. Historic levels of 504 loan closings and fundings was driven by record low interest rates and debt relief provided by the CARES ACT. In addition, this growth has also been driven by the SBA's introduction in April 2018 of the 25-year term option for 504 loans to complement the program's 10- and 20-year terms. Small businesses are attracted to the 25-year term as it provides a long-term fixed rate with a longer term which lowers their monthly payments, improves cash flow which has been truly critical during their recovery from the COVID crisis. In addition, many of our borrowers took advantage of the 504 refinance program options and were able to refi existing debt and in some cases cash in on existing equity to support eligible business expenses.

We at EDF cannot thank our banking partners enough for their continued support of our mission through the 504 program to provide much needed access to capital to small businesses - especially now, when it is of critical importance in our local business communities.

EDF Announces The

Promotion of Kyle Wilson

Kyle Wilson

Director of Closing Operations

We are excited to announce the promotion of Kyle Wilson to Director of Closing Operations. In this new position, Kyle will manage EDF's Closing Department and oversee the entire funding process and ensure projects are transitioned efficiently from the credit department to the closing department.

Kyle brings 9 years of industry experience and 14 years of banking experience to this role. Since Kyle has been with EDF, she has worked in every department at the organization. This experience, along with her background, will allow her to utilize all of her experience and expertise.

You can reach Kyle directly at (616) 323-1272 or email Kyle at Kyle@growmichigan.com.

EDF Welcomes Sharon Christy

EDF is pleased to welcome Sharon Christy to the team as our new SBA 7(a) Loan Specialist. In this position, Sharon will be working with banks and credit unions around The State of Michigan that we have Lender Service Provider Agreements with. Her responsibilities will include fielding questions regarding loan eligibility, helping to structure projects, and then both packaging and closing loans on the lenders behalf.

Originally from Hudsonville, Sharon brings with her 43 years of financing and banking experience. Prior to joining the EDF team, Sharon began her financing career at Michigan National Bank and later left to become one of the original employees to start Grand Bank in 1987 (which was acquired by Macatawa Bank). Christy then went to work for Byron Bank (which was acquired by Chemical Bank). Most recently, she was employed at Horizon Bank as their Sr. SBA/Government Loan Processor.

As EDF's new SBA 7(a) Loan Specialist, Sharon looks forward to working directly with lenders and customers to make a greater impact. She sought out EDF due to its smaller organization and was particularly intrigued in our desire to assist small businesses and to grow Michigan's economy. In her free time, Sharon loves to garden, read and run. She has completed a half marathon and 24K and hopes to participate in more in the future.

If you are interested in learning more about how EDF can help you or your organization with 7(a) loan processing, please call Sharon directly at (616) 323-1980 or you can email her at Sharon@growmichigan.com

Learn More About the SBA 504 Loan Program

EDF has three loan officers covering the entire State of Michigan. If you have any questions regarding loan eligibility or structuring a project, please call either Bradd, Tom or Kelly. They would also be happy to set up a time to meet with you and your team in person or via Zoom to do a more in depth training.

West Michigan Market

Bradd Pierce

(616) 323-1277

Bradd@growmichigan.com

East Michigan Market

Tom Bell

(810) 202-1750

Tom@growmichigan.com

Northern Michigan and Lansing Market

Kelly Schramski

(734) 821-7280

Kelly@growmichigan.com

Lender Leader Board

FY 2020

EDF would like to thank all of the lenders that have had loans authorized with us in FY 2020. West Michigan Community Bank finished the year with 7 loan approvals, and is this year's Lender of the Year!