Congresswoman Diana DeGette (D-CO) took another step to help Coloradans rebuild their economic footing, by voting yesterday for legislation that leverages $30 billion in lending for small businesses and creates hundreds of thousands of jobs. The Small Business Jobs and Credit Act will expand much-needed lending to small businesses and offer tax incentives to help America's small businesses grow.
"This legislation is yet another part of our ongoing effort to create jobs for Colorado and our nation and re-build our economy," said DeGette. "Over the past 15 years, small businesses have created two-thirds of the new jobs in our country. Yet last year, almost half of the small businesses seeking loans were unable to receive the credit they needed. To bring back America's Main Streets we must strengthen the small businesses that are the engine of our economic recovery, and this legislation will do just that."
The Small Business Jobs and Credit Act (H.R.5297) will help small businesses expand through investments in states and small banks that focus on lending to local small businesses. This new $30 billion lending fund, with tough performance-based incentives and safeguards to ensure that funds go to American small business, will spur job creation across America. The bill will also help cultivate American innovation through a new public-private partnership designed to channel early stage investment capital to promising new start-ups.
The Act also offers tax incentives to spur immediate investments in America's small businesses. These reforms will lower the capital gains taxes on small business investments, and increase tax deductions to help entrepreneurs to recover more start-up expenses.
The Act is fully paid for and will actually save taxpayers $1 billion over the next ten years.
The Small Business Jobs and Credit Act has been endorsed by a variety of organizations, including the National Small Business Association, the Small Business Majority, National Association of Realtors, the Conference of State Bank Supervisors, the American Bankers Association, Biotechnology Industry Organization and the National Bankers Association.