These efforts are meant to close capital access gaps for minority and rural small business owners.
SBA loans, typically made by banks and other financial institutions, help entrepreneurs start and grow their small businesses.
Fewer very small businesses have recently gotten loans, while startups have historically been viewed as risky by banks.
Additionally, Black- and Hispanic-owned small businesses have a harder time securing credit than white-owned small businesses.
Three nonbank lenders will be licensed to make SBA loans above $350,000, which some industry experts believe could make riskier loans.
Persons:
Biden, Guzman, Han Nguyen
Organizations:
Business Administration, Service, Small, Administration, SBA, Entrepreneurs, Wall Street, Business Lending Company, Wall Street Journal
Locations:
Wall, Silicon