Flood victims in northwest Washington are the state's most recent recipients of this help. A small business is liberally defined, but standards vary depending on industry. In general, a business must be independently owned and operated and not dominate its field of operation. An estimated 98 percent of all Washington state businesses qualify for SBA loan guarantees. The plus for the average small business in guaranteeing a loan through the SBA is that it allows banks to give loans to those who may not have the collateral or assets usually required.
Some loans also require a fraction of the down payment and offer a longer repayment period.
Cutting the fat hifting the SBA's focus to the customer while surviving a shrinking budget has resulted in some novel tactics for a government agency, such as cutting staff by 30 percent. Three years ago, the SBA's Pacific Northwest Regional Office, located on the 18th floor of the Park Place Building in downtown Seattle, was a buzzing hive of 37 bureaucrats. The other workers were shifted to other offices or opted for early retirement. Gretchen Sorenson, regional director since 1995, says not only are staffers gone, but regulations have been cut by 51 percent in recent years, resulting in a direct reduction in the paperwork required of those applying for SBA-guaranteed loans. But we have thought about things in a different way.