SBA Recovery Act extened until February 2010

The Senate voted 88-10 in favor of a $636 billion Defense appropriations bill early Saturday morning -- the bill includes $125 million to extend the SBA Recovery Act provisions through February 2010.

The final step will occur when President Obama signs the bill into law -- which will happen by Wednesday, December 23. This is very good news for the nation's small businesses and the 7(a) lending industry. We can expect loan volume to again grow.

Of the total $479 million appropriation requested by Senator Landrieu and 12 other senators, $125 million is included in this DoD appropriations bill, but the remaining $354 million is included in the House jobs-creation package, which is expected to be considered by the Senate early next year. The 'jobs bill' also includes an authorization extension for the reduction or waiver of the borrower fee and for the increased guarantee of up to 90 percent on 7(a) loans through FY2010. More >

Support the Bill before the US Senate RE:SBA

Please contact your US Senators to ask them to co-sponsor and support a bill introduced today by Senators Landrieu (D-LA) and Snowe (R-ME) -- S. 2869, Small Business Job Creation & Access to Capital Act of 2009.

This bipartisan bill allows the SBA to support larger loans and provide more financing options to a larger segment of small businesses, Provisions include:

Increase 7(a) loan limit from $2 million to $5 million*;
Increase 504 loans from $1.5 million to $5.5 million;
Allow the 504 loan program to refinance short-term commercial real estate debt into, long-term, fixed rate loans;
Extend the authorization to provide 90 percent guarantees on 7(a) loans and fee elimination for borrowers on 7(a) and 504 loans through December 31, 2010;
Increase the loan limit on microloans from $35,000 to $50,000.