SBA raises small-business loan guarantees - and fees

[SaintLouisBlues]

The newly authorized budget for the U.S. Small Business Administration increases the amount the government will guarantee on its most popular loan programs but raises fees for some of those loans.

President George W. Bush signed the federal budget bill Wednesday that contains $21 billion for SBA loan guarantees. Several changes were made in the SBA's most popular 7(a) loan program, as well as the 504 loan program.

snip

"In signing this bill, President Bush imposed a new tax on our nation's 23 million small businesses," said Rep. Nydia M. Velazquez, D-N.Y., ranking Democrat on the House Small Business Committee.

"These fee increases are far from modest," she said. "With the recent doubling of upfront fees anywhere from $1,500 to $3,000, and the restrictions placed on the program, it is most likely that this program will be less affordable for entrepreneurs."

http://www.stltoday.com/stltoday/business/stories.nsf/story/F5DF924951FF5FB386256F660012EA7F?OpenDocument&Headline=SBA+raises+small-business+loan+guarantees+-+and+fees

"Pull yourself up by your bootstraps" they say, while they grease up said straps.

Of course, most small business types voted for these robber barons.

[AllyCat]

1. All those "small business people voting for Bush" calling...

...into talk radio before the elections saying how much he was going to help them.

That's what they get for selling their souls.