The Obama administration has drawn up a proposal that was sent to Congress, which is set to create a support program for small business owners who are looking for credit or loans for their company. This bill is set to be a $30 billion support program which is going to hopefully bring more capital to businesses looking to expand, grow, and add new workers.
Small business owners have been asking for more access to capital through credit or loans so that they can expand their company and hopefully hire more workers to help combat the nation’s high unemployment rate. Many small business owners have said that getting capital through small-business loans or credit has been very difficult as lenders have been unwilling to make capital accessible to small businesses.
Lenders, on the other hand, have said that small businesses are unwilling to borrow. Many banks say that they offer small business loans and are ready and willing to help the economy through providing capital to small businesses, which are said to be vital to combat unemployment, but banks are saying many small businesses are unwilling to take the risk that comes with getting a small business loan.
This new small business bill from the Obama administration hopes to not only aid small businesses that are looking for capital to grow but also this new bill is set to promote banks to make more loans to small companies. While it is said that more jobs were added to the workforce in April, there are still numerous men and women who are out of work and in need of employment, so small businesses are hoped to be one solution to this problem, and this small business bill is designed to provide business owners with the means to hire more workers in the near future.