Pine State News

Sen. Susan Collins (R-Maine) has recently introduced the Small Business Access to Recovery Capital Act that would expand relief measures to Small Business Administrations 7(a) Loan Guaranty program for one year.

Colins joined Sens. Marco Rubio (R-FL) and Jim Risch (R-ID) to introduce this bill which will waive borrower and lending fees, increase the maximum loan value from $5 million to $10 million, and increase the government guarantee to 95 percent, the Bangor Daily News reported.

“Small businesses are the engine of our economy, but the COVID-19 pandemic is tragically forcing many families to close the doors to their small businesses that they have spent years or even generations to build,” Collins said in a press release. “As the co-author of the Paycheck Protection Program, I have worked to help small businesses stay afloat and continue paying their employees. This bill would provide additional assistance for small businesses to weather this public health and economic crisis.”

The Paycheck Protection Program was created to provide businesses support to keep their workers on the payroll during the COVID-19 pandemic.

“The SBA’s 7(a) loan program is critical in providing flexible working capital to small businesses in need,” Rubio said. ”This bill would provide relief measures to ensure that firms can access the long-term loans needed for financial stability as they recover from the economic impacts of the pandemic. I am proud to partner with my colleagues to make this program meet the needs of today’s small businesses.”