Lowey and Gillibrand Push Federal Support for Small Business
Senator Kirsten Gillibrand (D-NY) and Congresswoman Nita Lowey (D-Westchester/Rockland) today detailed federal efforts to spur entrepreneurialism and job growth by making credit more available for small business and waiving Small Business Administration loan fees. They also highlighted a local initiative that is using federal funding to train prospective small business owners.
"Small businesses are the engine that will drive our economic recovery and growth," said Lowey. "Small businesses create 70 percent of new jobs, and the federal government should make it easier for them to hire new employees and make capital investments. I am particularly pleased that we can point to initiatives in our own community that have successfully trained and prepared prospective small business owners to run successful enterprises."
"Small businesses are not only job generators, they're the heart of the American story and the future of our economy," said Gillibrand. "In this difficult economy, banks are refusing to lend money to our small businesses. Without access to credit, businesses cannot grow and create jobs. Now more than ever we must take aggressive actions to invest in long term economic development. To do that, we must give our small businesses the tools they need to succeed."
The American Recovery and Reinvestment Act provided $780 million to assist more small businesses with lending and investment programs through the Small Business Administration. President Obama announced earlier this week a new federal guarantee of up to 90 percent on 7(a) loans, a core SBA lending program. This will help small businesses to expand and invest in the future of their business. President Obama also announced a suspension of up-front SBA fees as high as 3.75 percent that could otherwise prevent small businesses from seeking financing to invest and expand.
Joining Lowey and Gillibrand was Anne Janiak of Women's Enterprise Development Center, a local initiative that uses federal funding to give female prospective small business owners the training they need to achieve their dreams of small business ownership. Janiak discussed the importance of local and federal support for small business development.
"During these times of economic uncertainty, WEDC's comprehensive, high quality entrepreneurial training programs and counseling services are more crucial than ever to the start-up and growing businesses in our area," said Janiak. "We greatly appreciate the local and federal support we receive that allows us to provide our clients with the skills and resources they need to grow their small businesses."