July 23, 2010

Hi Bob,

I agree with this borrower. The 90% guarantee with "no guarantee fee" provision certainly makes a difference too to my practice professionals seeking to grow their practices. What continues to frustrate me is the bipartisan approach to legislative affairs in Congress. Rather than being focused on the best interests of the constituents legislators were elected to represent, they are more interested in who will receive credit for the passage of a Bill, the potential success of a Bill and who will control Congress after the mid-term elections. Constantly claiming that small business is the backbone of America and employs the majority of the workers yet focusing first on the interests of big business, than others and finally last small business owners is an outright insult.

If passage of the Bills that could stimulate all of the economy does not occur before their August recess, we should ask all of the legislators who vote against passage to only purchase from big businesses while away. Do not visit a local inn, bed & breakfast, surf shop, café, restaurant, coffee shop, barber, hair stylist, clothing boutique, auto repair shop, doctor or dentist, ice cream parlor, miniature golf course, obtain their products and services solely from a big business. All small businesses will be off limits to them. Let's see how they would enjoy their August recess!

Recently we lived in an economy that was on steroids for far too long and the same legislators who are not aiding small business these days are the ones who promoted that economy, made big business and themselves wealthier while capping spending by the SBA for small business initiatives, not increasing lending / guarantee caps for nearly a decade, reducing the number of SBA offices and SBA employees, etc.

This economy needs all of the stimulus it can receive not to return to a steroid-induced state but to promote new jobs & job retention, enable businesses to upgrade equipment, technology, renovate or acquire new office / retail / manufacturing workspace, and market themselves effectively thus returning American business to organic growth and making America once again competitive in the global economy. We gave big business and big banks aid last year, we have been aiding the unemployed who lost jobs from big business and small business alike now. It is certainly now time to help small businesses.

If small business does receive the aid these pending Bills offer, when legislators return home to battle in mid-term elections they might just see fewer vacant storefronts in their hometown, more people smiling at work, more shopping and receive thanks from their constituents. Bipartisan politics needs to end. It is time that our legislators need to put the needs of their constituents first not last

Best regards,

Response to this letter sent to Coleman:

Letter From a Borrower

Dear Coleman,

It seems that everybody is focused on the $30 billion Small-Business Lending Bill and there is little attention being paid to the fact that the SBA fee waiver re-authorization is/was contained in the Unemployment Bill about to be voted on by the Senate (H.R. 4213). This has largely been ignored and as such it is not surprising that there seems to be no information available as to whether or not the additional funds will in fact be appropriated to continue the waivers. It seems H.R. 4213 will pass, but it will be a stripped-down version with many items being excluded. Whether the SBA funding remains in the bill seems to be unknown at this point. As a small-business owner in the SBA "Queue" waiting for the outcome of this debate, this would be real news should someone be able to obtain the answers to these questions.

Send reply to bob@colemanreport.com.