US Senator Kerry Wants Lending Opportunities for Small Biz Coops

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Friday, March 02, 2012

GoLocalWorcester News Team

U.S. Senator John Kerry, the senior Democrat on the Small Business Committee, lobbied the U.S. Small Business Administration (SBA) asking for a review of all current policies on lending to small business cooperatives and the establishment of clear eligibility guidelines for qualifying cooperatives.

“It is my understanding that many small business cooperatives are not currently able to utilize SBA lending programs due to regulations dating back to the 1960s which are currently subject to conflicting interpretations,” Kerry wrote in the letter. “I am concerned that too many lenders see the regulations as a broad denial of access for all cooperatives, even those that otherwise fit the criteria of being a small business.”

Sen. Kerry introduced the Small Business Lending Act last November - legislation that would help to make more capital available to small businesses through the Small Business Administration (SBA), eliminate some SBA loan fees, and increase loan guarantees to help small businesses expand, create jobs, and strengthen the economic recovery.