News 12 at 6 O'Clock, March 4, 2010

AUGUSTA, Ga. -- The Velocity Dance and Salon Studio is one of the newest businesses to spin to Broad Street.

"It was like a leap off of a mountain for me to leave that fear behind and go for it," said co-owner Ave Peoples.

But they're lucky. Owners didn't need a loan. Countless other businesses do.

Augusta staffing company Peak Employment Solutions hoped to expand across the river. But their bank wouldn't lend to them.

"They'll talk to me all day long as long as I'm making a deposit. But they don't want to talk about making a loan," said owner Mike Frazier.

And some of the stories he hears from other potential business owners are the same.

"We've got a client of ours that wants to ramp up production. 'We can't do it. We need the people. How can we do that when our credit lines have been cut?'"

Frazier says he's funding 14 clients who can't get money from banks.

"Sometimes the funding isn't the cure," says Susan Caldwell of the Small Business Development Center. "It may be a temporary fix, but are they looking at the other parts of their business?"

An arm of the University of Georgia, the SBDC helps about 250 small businesses each year in the Augusta area. They give them the resources they need and direct them to other funding sources besides banks.

But, some good news. President Obama just signed a bill extending the support of the Small Business Administration for nearly $2 billion in loans. The bill also waives certain fees for business owners who borrow.

For help with where to get small business loans and other resources, including finding seminars that can help you get your business started or expanded, call the SBDC. Their services are free of charge. The number is 706-721-4545.