President Obama signs Sen. Coons' bipartisan bill to increase small business loans

Press Release

U.S. Senator Chris Coons (D-Del.) released the following statement after President Obama signed into law a bipartisan bill backed by Senator Coons to extend the Small Business Administration's (SBA) flagship 7(a) loan program, which has reached its cap this year. Under this new law, the loan cap will be increased from $18.75 billion to $23.5 billion, allowing businesses in Delaware and across the country to access federal loans so they can invest in their equipment, hire new workers and continue growing the economy. The legislation was introduced by Senators Jeanne Shaheen (D-N.H.) and David Vitter (R-La.). Senator Coons is the ranking Democrat on Financial Services and General Government Appropriations Subcommittee, which funds the SBA, and a member of the Small Business Committee.

This year, SBA and lenders have dramatically increased lending to small businesses. As of July 1, the SBA loan production is up 56% (156 vs 100) and Dollars Financed is up 151% ($84.6M vs $33.6M). The $84.6M represents an all-time high mark for dollars financed here in Delaware and they still have two months remaining.

"Providing access to capital, especially for small businesses, is critical to keep the economy moving in the right direction, and we should not punish the SBA and Delaware lenders for their success by cutting off their lending ability." said Senator Coons, member of the Senate's Small Business committee. "The fact that the Senate and the House were able to act so quickly on our bill to address this issue shows that these federal loans are vitally important to small businesses and our entire economy. This is a big win for Delaware businesses, and it's an example of how Congress should be working together to help our economy grow."

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