Congressman Dennis Cardoza
18th Congressional District of California

 

“Small businesses, which are responsible for creating 3 out of every 4 jobs in the U.S., are the engine that drives our nation’s economy,” said Congressman Cardoza on the House floor. “Unfortunately, the Small Business Administration’s current investment programs have fallen short and the needs of small businesses have gone unmet. This bill will make SBA an efficient partner in business development and small businesses will have better access to the venture capital they need.”

 

Though not a member of the House Committee on Small Business, Congressman Cardoza has been advocating for the changes that this bill makes. Through letters and in personal meetings, Mr. Cardoza has called for improvements to SBA’s investment programs. Mr. Cardoza’s advocacy for better small business investment programs comes directly from hearing about the challenges of finding capital from small business groups in his district during their “One Voice” trip to Washington, DC this Spring. The programs in this bill will have a direct impact on the Central Valley by providing more capital for small business’s to start-up and expand.

 

Specifically, HR 3567 overhauls the SBA’s Small Business Investment Company (SBIC) and the New Markets Venture Capital (NMVC) programs which are designed to aid small enterprises, particularly those owned by women, minorities, and residents of low income areas. The bill also creates the Angel Investors Program in which high net-worth individuals invest in and support start-up businesses in their early states of growth.  The SBA will provide matching money to angel investors. Finally, the bill amends the Small Business Act to make more businesses eligible for SBA investment programs to stimulate greater participation.