The Small Business Administration’s flagship lending program backed twice as many loans in the past three months as it did a year ago during the same time period.

In the second quarter, the lending program processed 16,558 loans, more than doubling the loans offered in the same time period in 2009.  Overall in 2010 the SBA has lent out $3.7 billion.

For those considering starting a business or buying a business for sale, now is the time!

Recession is the time of innovation but it is also hard to find funding during these times.  But with a little research on the internet your small business can quality for grants from the city, county, state, and federal governments as well as private foundations and corporations.

1. Figure out if you qualify for any special small business certifications, such as a minority-owned, disadvantaged, woman-owned or veteran-owned business. Federal and state governments sometimes give priority for grants to these types of business owners.
2. Then look at your local government Web sites — for your city, county and state — and find the economic development agency or area equivalent.
3. Next, sign up at grants.gov to receive information about specific kinds of federal grants.

Keep an open mind while doing your research.  Who knows you might be one of the business owners who just might modify their business based on funding opportunities

Business Week states “Many companies can’t afford Humanix’s approach of lending workers money directly, especially in a slump. Mitch Bolnick, CEO of security company BCD Low Voltage Systems in Phoenix, let several employees borrow from the company in the past for emergencies like car repairs. But with sales slow this year and his staff of 16 already taking pay cuts, Bolnick has held off on new loans. “This year we’ve had to explain to them what the situation is and why, and they understand,” he says. Still, he says assisting employees when possible helps BCD build loyalty among workers: Two have told him they turned down higher-paying offers.”

What does this mean to other small businesses? It doesn’t mean you should start providing private loans or funds for your employees today, but to think about their needs outside the office also because, “a financially unstable worker can cost a business as much as $480 per month in lost productivity and absenteeism.”

As of June 15th the SBA has taken steps to help small business owners who have been hit hard during this economic crisis. According to The Business Review “The SBA began accepting applications for emergency bridge loans of up to $35,000. Small businesses can use these loans, which were created by the economic stimulus bill, to make up to six months of payments on existing debt.” The SBA will allow a year, after the last disbursement, before loan payment begin, giving small business owners the small breather, some desperately need