Small Business Act (United States)

The Small Business Act is the Act of Congress which created the Small Business Administration. It was enacted July 30, 1953, originally as the Small Business Act of 1953 as Title II of Pub. L. 83–163 (ch. 282, 67 Stat. 232. It was codified at 15 U.S.C. ch. 14A.

For the agency it created, see Small Business Administration.
For other uses, see Small Business Act.
Wikisource has original text related to this article:
Small Business Act of 1953
Great Seal of the United States
Long titleAn Act to create the Small Business Administration and to preserve small business institutions and free, competitive enterprise
Enacted bythe 83rd United States Congress
Citations
Public lawPub. L. 83–163
Legislative history

The Reconstruction Finance Corporation Liquidation Act, which was Title I of Pub. L. 83–163, abolished the Reconstruction Finance Corporation.

Amendments

The Small Business Act Amendments of 1958 (Pub. L. 85–536, 72 Stat. 384, enacted July 18, 1958) withdrew Title II as part of that act and made it a separate act to be known as the "Small Business Act". Its function was and is to "aid, counsel, assist and protect, insofar as is possible, the interests of small business concerns".

It was amended in 1978 (Pub. L. 95–507) resulting in contracting requirements that resulted in the establishment of Office of Small and Disadvantaged Business Utilizations.

It was amended again in 1988 with Public Law 100-646 requiring projections for procurement planning.[1]

It was amended again in 2017 by the Improving Contract Procurement for Small Businesses through More Accurate Reporting Act of 2017 (incorporated within the National Defense Authorization Act for Fiscal Year 2018, signed by the President on 12 December 2017),[2] and in 2020 by the Paycheck Protection Program Flexibility Act of 2020 (Pub. L. 116–142 (text) (PDF)), which loosened the requirements for loan forgiveness.[3]

Law provisions
  • It sets up Small Business Administration as an independent federal agency aimed to help, consult, and protect the interests of small-size enterprises.
  • It facilitates an access to the public markets and books 23% - 40% US public procurements for the national middle- and small-size enterprises,[4] which encourages local innovations and lets minor players compete with the larger companies to expand to the international level.
  • It facilitates an access to a bank loan with a guarantee from the Administration so that the latter stands for an insolvent loan debtor to pay back the loan. Interest rate is 5.5% - 7.5%, which is the current traditional range for the loans.[5]
  • It facilitates an access to the information via information stands available by phone and information centers.
  • It organizes the protection of small-size enterprises, thus sets up Protection Office which is responsible for protecting the interests of the US small-size enterprises in the Congress.[6]

References
  1. https://apfs.dhs.gov/about/
  2. Improving Contract Procurement for Small Businesses through More Accurate Reporting Act of 2017, accessed 12 August 2020
  3. Michael Bonner (2020-06-08). "PPP Flexibility Act loosens guidelines for businesses to ensure more loans will be forgiven". Syracuse.com. Retrieved 2020-06-10.
  4. "Small Business Administration (SBA)" (PDF). governmentattic.org. Retrieved 2023-04-22.
  5. "SBA acquisition loans". sbalenders.com. Retrieved 2023-04-22.
  6. "Organization - SBA". sba.gov. Retrieved 2023-04-22.
This article is issued from Wikipedia. The text is licensed under Creative Commons - Attribution - Sharealike. Additional terms may apply for the media files.