ST. GEORGE – Zions First National Bank announced Friday its rank as the top lender of U.S. Small Business Administration 7(a) loans in Utah during 2012. Zions has ranked Utah’s No.1 SBA lender for the past 19 consecutive years.
Small businesses like Washington-based Cannibal Cycle received an SBA loan from Zions Bank and are helping to fuel the state’s economic recovery. Launched by partners Brent Weight and Darryl Zitting in March 2012, the company sells used motocross motorcycle parts through an online eBay store. Although 99 percent of what Cannibal Cycle sells is vended online, it does have a warehouse in Washington City which is open to the public. It is located at 1367 South Sandhill Drive, Unit 1,in Washington City.
After receiving an SBA 7(a) loan from Zions in June 2012, Weight and Zitting were able to get a jump start on their inventory purchasing. With more parts to offer online, the company has been doubling sales each month. Cannibal Cycle has quickly expanded to add three full-time and two part-time employees.
“It would’ve taken us a long time to get our business started without being able to use the SBA loan for our biggest initial cash outlay — purchasing bikes,” Weight said. “We weren’t sure we’d be able to get approved for the loan, but our Zions Bank lender helped us prepare the documents and guided us through the process. We were pleasantly surprised.”
Zions Bank president and CEO Scott Anderson said that small businesses like Cannibal Cycle are key drivers of the economy because they hire workers.
“Roughly 97 percent of companies in Utah qualify as small businesses, and we know they help fuel our economic growth because they are the principal source of new jobs,” Anderson said. “As the state’s top SBA lender, Zions Bank is proud to be part of the economic solution by offering support and expertise to entrepreneurs.”
Zions Bank and its affiliates approved 437 SBA 7(a) loans in Utah, totaling $44.1 million for the fiscal year ended Sept. 30, 2012. These loans represent 40 percent of the 1,071 SBA-backed loans approved in the state during fiscal year 2012.
Capital provided through Zions Bank’s SBA loans helped Utah businesses grow so that they could hire 1,212 new employees and retain 2,289 positions, according to SBA data.
Zions Bank also leads all other financial institutions in Utah in marketing SBA loans to women- and minority-owned businesses and new start-ups. During fiscal year 2012, 32 percent of the SBA loans approved by Zions Bank were to women and minorities, and 34 percent were made to new businesses.
Through the end of 2012, Zions Bank is offering small business owners a complimentary business toolkit, which includes a resource guide on topics ranging from marketing and social media to hiring tips and cash flow management.
SBA 7(a) loans are the most basic and most used type of loan in SBA’s business programs. The program offers up to 25-year, fully amortized loans that result in lower monthly payments for the borrower. Proceeds from the 7(a) program may be used for most business purposes, including the purchase of real estate for business operations, acquisition of equipment, and working capital.
Zions Bank, a subsidiary of Zions Bancorporation (NASDAQ: ZION), is Utah’s oldest financial institution and is the only local bank with a statewide distribution of branches, operating 106 full-service offices. Zions Bank also operates 26 full-service branches in Idaho. In addition to offering a wide range of traditional banking services, Zions Bank is also a leader in small business lending and has ranked as the No. 1 lender of U.S. Small Business Administration 7(a) loans in Utah for the past 19 consecutive years. Founded in 1873, Zions Bank has been serving the communities of Utah for more than 135 years. Additional information is available online Zions Bank.
Submitted by: Zions Bank