Manufacturers are the most prolific job-generators in the United States. It’s one of the key reasons they’re being honored today (Oct. 2) on National Manufacturing Day.
Manufacturing supports an estimated 17.6 million jobs in the United States – about one in six private-sector jobs. According to the National Association of Manufacturers, more than 12 million Americans (or 9 percent of the workforce) are employed directly in manufacturing.
About 15% of all the loans funded each year by CDC Small Business Finance help manufacturers expand, often via the purchase or construction of a larger facility.
Here are just a few entrepreneurs who took advantage of SBA-504 financing to grow their manufacturing small businesses and create jobs:
Value Windows & Doors, manufacturer and distributor of vinyl, wood and iron windows and doors, used an SBA-504 loan to purchase and expand into a 126,000 sq.ft. building in Duarte, California. The company owners projected the creation of 155 jobs as they increased manufacturing capacity and diversified their product lines.
Steico Industries owner Troy Steiner has used the SBA-504 program to purchase eight buildings for his growing, Oceanside-based manufacturing company that produces precision tube and welded assemblies servicing the aerospace, medical, and high-tech industries. Through expansion, Steiner has created more than 100 new jobs.
Custom Ingredients, a flavor manufacturing company, took advantage of SBA-504 financing to purchase a building in San Clemente, California. Owner Mike Wendling said the monthly payment nearly equaled what he was paying in rent, but he is now building equity and has space to expand. He planned to create 20 jobs. He shares his story.
Applied Membranes, manufacturer of reverse osmosis membranes, will gain 125 employees as a result of the company’s expansion into a new, 156,000 sq.ft. facility, constructed with the help of SBA-504 financing. The owner anticipates the new building will help improve productivity.
The dollar ceiling for SBA-504 loans for manufacturers can exceed $20 million. For more information, visit SBA-504.