Central Missouri News

Congressmen Mark Alford and Shri Thanedar have announced the reintroduction of the "Loans in Our Neighborhoods (LIONs) Act" (H.R.1893). This bipartisan bill aims to amend the Small Business Act by increasing the maximum gross loan amount for section 7(a) loans from $5 million to $10 million. It also includes a 75% guaranteed rate on loans up to $10 million, backed by the Small Business Administration (SBA), making it more appealing for lenders.

“After four years of inflation, overregulation, and supply chain bottlenecks, American small businesses are on the brink,” said Congressman Alford. “The LIONs Act will provide much-needed financial support for the backbone of our economy. With the expanded access to capital in this legislation, small businesses in Missouri and across the country will be able to grow, create jobs, and serve our communities. I’m proud to co-lead this bill, and I thank Congressman Thanedar for his partnership.”

Congressman Thanedar added, "By introducing the LIONs Act, we are taking a significant step to promote access to capital for the small business community in Michigan and across the country. This is about ensuring that the needs of small businesses are adequately met, allowing them to continue driving our economy and creating jobs."

The proposal has received positive responses from small businesses and local organizations. Laura Lee Blake, President & CEO of AAHOA, stated: “The bipartisan introduction of the LIONs Act for 2025 is a game-changer for hotel owners and small businesses nationwide. Access to capital is the lifeline of small business success. By raising the SBA 7(a) and 504 loan limits from $5 million to $10 million, this critical legislation will provide much-needed access to capital, empowering hoteliers to reinvest in their properties, create jobs, and drive economic growth. Congressmen Thanedar and Alford’s leadership ensures that entrepreneurs in the hospitality industry have the financial tools they need to thrive. AAHOA thanks them both for their commitment to the hotel industry and to small business owners across America that will benefit from this long overdue update."

The SBA's 7(a) Loan Program serves as a key resource for aiding small businesses with various financial needs such as acquiring or enhancing properties or covering daily expenses.

The current version also proposes an increase in limits for 504 loans from SBA up to $10 million. This change aims at providing more opportunities for long-term financing necessary for business expansion.