Verus lands $9.7 million to help local small business

 
 
 
 
 
 
FORT COLLINS – Verus Acquisition Group Inc. has received $9.7 million through the Small Business Lending Fund to help small business expand and create jobs, according to the U.S. Department of the Treasury.

The SBLF was created as part of the Small Business Jobs Act that encourages community banks to increase their lending to small businesses, helping companies expand their operations and create new jobs.

“This funding will help break down barriers to credit for small businesses so they can invest, expand and create new jobs,´ said Rosie Rios, U.S. Treasurer. “Continuing to unlock access to capital for Main Street entrepreneurs is vital to strengthening economic growth and job creation in local communities across our country.”

Verus Acquisition Group is the holding company for Verus Bank, with offices in Fort Collins and Loveland. Gerard Nalezny, Verus Bank president, said he received the money July 14.

“It worked out nicely for us,” he said. “We’re the No. 1 SBA lender in the area but we don’t think that’s enough. We want to expand that. We think this is good for the community, the economy and the region.”

Nalezny said the $9.7 million will go far. “You can take $9.7 million and leverage that into about $80 million to $90 million in small business loans,” he said.

The SBLF is providing capital to community banks that hold under $10 billion in assets. The dividend rate a community bank pays on SBLF funding is reduced as the bank increases its lending to small businesses, providing a strong incentive for banks to make loans.