Senate Small Business Committee to Meet Later This Week to Consider SBA Modernization Legislation

As the Small Business Administration (SBA) celebrates 70 years since its founding on July 30, small business owners from Goldman Sachs 10,000 Small Businesses Voices are marking the occasion by calling on Congress to reauthorize and modernize the agency for the first time in 23 years.

“The 70th birthday of the Small Business Administration offers us not only the opportunity to celebrate its great work but also to reflect on what can be done to modernize the agency to best assist the small businesses of today and the future. The economy, the way consumers and businesses interact, and the countless challenges encountered by small businesses like ours look a lot different today than they did when the SBA was last reauthorized 23 years ago. Small business owners are constantly forced to adapt to a changing world; the SBA needs the tools to follow our lead and prepare for 70 more years of small business success,” said Janice Jucker, co-owner of Three Brothers Bakery in Houston, TX.

Brent Reaves, owner of Smokey John’s Bar-B-Que in Dallas, TX, recently spoke to the importance of reauthorizing the SBA in an ad for Goldman Sachs 10,000 Small Businesses Voices, highlighting his small business and the important role the SBA plays in the success and development of small businesses.

The advertisement and the renewed call from small business owners to reauthorize the SBA come as the Senate Small Business Committee prepares to consider a package of bills to modernize the agency this Wednesday, July 12^th. Earlier this year, Goldman Sachs 10,000 Small Businesses Voices and the Bipartisan Policy Center released a report with recommendations to modernize the SBA for the small businesses of today. These recommendations would:

1. Improve access to capital and address financing gaps, particularly for business owners of color, women, veterans and those in rural areas.
2. Increase small business participation in government contracting by simplifying certification processes and streamlining contracting opportunities.
3. Modernize entrepreneurial development and counseling options, including leveraging technology, updating programs and strategic marketing to ensure businesses are aware of and can take advantage of available offerings.

The SBA serves many critical functions, though recent surveys indicate a desire among the small business community for improvement. According to a 2023 survey by Goldman Sachs 10,000 Small Businesses Voices, 70% of small business owners gave the federal government a C-grade or below for the effectiveness of programs, services and tax credits available to small businesses. A near-unanimous number of small business owners (96%) said the federal government should be doing more to tailor programs and services to better reflect their realities and needs. According to the same survey, 94% of small business owners believe the best way to mitigate these issues is for Congress to modernize and reauthorize the SBA.

While acknowledging the SBA’s work for the community, small business owners said the SBA needs to adjust to evolving consumer and business owner behaviors and needs. The small business owners shared that, among other issues, the SBA’s modernization would help with procurement reform, competition for workers with bigger companies that can offer more lucrative benefits and access to reliable child care and affordable capital.

“Since its founding, the Small Business Administration has become an invaluable partner for small businesses. As we recognize this milestone, we should be just as motivated to help the agency as it looks forward to the next 70 years. The Small Business Administration hasn’t been modernized by Congress in 23 years–that’s more than a third of the agency’s entire existence. Congress should give the Small Business Administration the birthday gift of reauthorization to bring the agency into the 21st century,” said Joe Wall, Goldman Sachs 10,000 Small Businesses Voices national director.

ABOUT 10,000 SMALL BUSINESSES

Goldman Sachs 10,000 Small Businesses (10KSB) launched over a decade ago to provide a prestigious business education program along with access to capital and support services. It has reached more than 13,000 small business owners across all 50 states, Puerto Rico, and Washington, D.C. to date. Learn more at www.gs.com/10ksb

ABOUT 10,000 SMALL BUSINESSES VOICES

Goldman Sachs 10,000 Small Businesses Voices is an initiative for program participants to organize and advocate for policies that matter to them. It builds on Goldman Sachs 10,000 Small Businesses, which over the past decade has provided access to education, capital, and support services to more than 14,000 small business owners across all 50 states, Puerto Rico, and Washington D.C. Learn more at http://www.gs.com/10ksb-voices.

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