On April 28, the Biden administration released a new plan intended to reduce barriers and increase access to capital for small business entrepreneurs. This plan speaks to one of the biggest challenges America’s New Business Plan is trying to solve: equitable access to financial capital. Here are some highlights from the administration’s plan:
- Expanding loans and equity investments by more than $300 billion through 2030
- Investing $100 million in the Small Business Administration’s Community Navigator Program
- Doubling funding for the Minority Business Development Agency while providing technical assistance to small business owners
These types of investments into America’s new and small businesses are steps toward building an economy that works for everyone and enables more entrepreneurship. At least 83% of entrepreneurs do not have access to bank loans or venture capital when launching their business, and 33% of Americans cite funding as the number one reason why they have not started a business. In short, lack of funding and financing often limits business opportunities to those who already have the wealth to create new enterprises.
Thanks in no small part to the work many coalition members are doing, we’re seeing more momentum behind these issues than ever before and at the highest levels of government.
Read more about the new proposal here.
Read more about America’s New Business Plan here.