WASHINGTON — In an effort to create more jobs, President Barack Obama will ask Congress to temporarily expand two lending programs for the owners of small businesses, an administration official said Friday.
Speaking on the condition of anonymity because the president hadn’t yet announced the proposal, a White House official said the plan would temporarily increase the cap on U.S. Small Business Administration Express Loans from the current maximum of $350,000 to $1 million.
Obama’s plan would also expand the SBA’s program to support refinancing for owner-occupied commercial real-estate loans.
To be eligible, business owners must have first mortgages and be current on all loan payments for the previous year.
The programs were to be announced Friday when the president meets with small-business owners in Lanham, Md.
The proposals, if approved by Congress, would be part of Obama’s overall plan to create jobs.
Obama wants to send $30 billion from the bank bailout program to community banks for lending to small businesses that need loans to increase their output and hire additional workers.
The president has also proposed eliminating capital gains taxes on small businesses in 2010 and giving small businesses a $5,000 tax credit for every new job created.
BEFORE YOU GO…
… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.
If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.Click for more info