The chairman of the House Committee on Small Business yesterday urged the new head of the Small Business Administration to try to jump-start lending by using provisions in the economic stimulus bill that so far have sat idle.

“With every day that goes by, viable small businesses are being forced to close,” Rep. Nydia M. Velázquez (D-N.Y.) wrote in a letter to SBA Administrator Karen Gordon Mills, who was confirmed last week. “Without the lifeline that this program can provide to small businesses, our economic recovery will be slowed.”

All businesses need money to start and grow. This makes me think there will be a delay for the average entrepreneur! (more…)

 
After 56 days in office as the 44th president, Obama has done some work on making life easier for the small business owner. Everone is talking about the stimulus plan and how the small business owner can get in on it.

A lot of people are trying to figure out how to ‘get some stimulus money’. Impacts from the $787 billion stimulus package, the tax breaks from new home buyers to renewable energy, are still rolling out.

On Monday, Obama unveiled his $15 billion plan to inject life into the credit market to help small businesses. The plan calls for $730 million of the stimulus plan to reduce lending fees and increase loan guarantees for small business to 90 percent.  The plan also will provide banks $15 billion in hopes of loosening the credit market and increasing lending to small businesses.  However, economic plans don’t take effect overnight, and the payoff may not be seen in the markets until next year. (more…)