Crist Says Proposal Would Help Small Businesses Get Credit
If passed, the bipartisan bill would stimulate the economy and create jobs, U.S. Rep. Charlie Crist said.
WASHINGTON, DC – U.S. Rep. Charlie Crist, D-St. Petersburg, has proposed a bill designed to make it easier for small businesses to get loans.
U.S. Rep. Rod Blum , R-IA, is co-sponsoring the Access Business Credit (ABC) Act (H.R. 4424).
The bill amends the Internal Revenue Code to incentivize community banks to provide credit for small businesses. Specifically, interest received by a lender for a small business loan would be excluded from the lender’s gross income. Crist said the ABC Act would stimulate additional credit availability and job creation through the U.S. banking system with a focus on promoting small business lending.
“Small businesses are the engine that drives job creation and economic growth in our communities. Capital is their lifeblood. Making it easier for community banks to make more loans to small businesses is a smart and straightforward change – strengthening Main Street, the middle class, and our economy,” Crist said. “This is how we get things done for the American people, working together on common-sense legislation that puts the people first.”
Blum said, “It is imperative for small businesses to have access to capital to grow and this bill will make sure there are resources available to help small businesses continue to thrive. As a small business owner, I know what capital means to a growing business: more employees, better R&D, and increased possibilities.”
Small businesses are defined as those with fewer than 50 employees. Overall, small businesses employ 120 million people, roughly half of the nation’s private-sector workforce. Currently, small-business loans’ share of total bank loans is down 13 percentage points, while total business loans have increased 33 percent. These decreases are attributed to stricter regulatory requirements, tighter lending standards, and shrinking demand for credit and structural changes in the banking industry, Crist said.
Crist represents Florida’s 13th Congressional District, which includes south and mid-Pinellas County.
For information about Crist, go to crist.house.gov.
Charlie Crist | Rod Blum | Small Businesses | Banking | Politics | Tampabay News
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