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Big change for California small businesses: No more SBA loans for non-citizens
The policy change affects about 220,000 green-card-holding small business owners in California, who contributed $28.4 billion in income in 2023, advocates say.
- Starting in March, the Small Business Administration restricted loan eligibility to U.S. citizens and nationals, expanding the policy to SBA-backed loans in April and excluding green-card holders from both programs.
- California, home to the nation's largest immigrant population, faces the highest impact, with roughly 220,000 green-card-holding small business owners potentially losing access to capital that immigrant entrepreneurs generated at $28.4 billion in 2023.
- Cristina Foanene, a Romanian immigrant and owner of MCS Glass in Fresno, used SBA loans to expand her business over 20 years. She said, "It literally breaks my heart" that others may lose these opportunities to pursue the American Dream.
- Advocacy groups like the Small Business Majority warn the shift pushes entrepreneurs toward predatory lenders or "informality," as finding safe, affordable capital becomes increasingly difficult for those without established credit histories.
- Agency spokesperson Maggie Clemmons stated the rule change aims to prioritize funding for American citizens, while business advocates argue it ignores the immigrant community's significant contributions to the U.S. economy.
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14 Articles
14 Articles
Associated Press News+13 Reposted by 13 other sources
Big change for California small businesses: No more SBA loans for non-citizens
Green-card holders no longer qualify for loans from the Small Business Administration, eliminating a longtime source of financing for immigrants that advocates say will discourage job creation and harm the economy.
·United States
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Total News Sources14
Leaning Left3Leaning Right1Center2Last UpdatedBias Distribution50% Left
Bias Distribution
- 50% of the sources lean Left
50% Left
L 50%
C 33%
R 17%
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