Investing in All of America Act of 2025
Investing in All of America Act of 2025
Plain Language Summary
# Investing in All of America Act of 2025 - Plain Language Summary **What the Bill Does:** This bill changes how the Small Business Administration (SBA) finances Small Business Investment Companies (SBICs)—specialized firms that invest in small businesses. The main changes reduce how much SBA money these companies can borrow relative to their own funds, while offering incentives to invest in specific areas like rural communities, new technologies, and small manufacturers. It also increases the overall lending cap for groups of commonly controlled SBICs from $350 million to $450 million. **Who It Affects:** The bill primarily affects SBICs and the small businesses they invest in.
It could influence investment decisions in underserved areas like rural regions, since companies investing there would receive more favorable financing terms. Small manufacturers and technology startups may also see impacts depending on how the expanded investment incentives are implemented. **Current Status:** The bill has already passed the House of Representatives. It was sponsored by Representative Daniel Meuser (R-PA) and is part of the 119th Congress.
CRS Official Summary
Investing in All of America Act of 2025This bill modifies the limit on the amount of financing available to a Small Business Investment Company (SBIC) from the Small Business Administration (SBA). It also expands the definition of private capital with respect to SBICs.Specifically, the bill reduces the maximum outstanding financing available to an SBIC from 300% to 200% of the SBIC's private capital. The bill increases from $350 million to $450 million the maximum financing available to two or more commonly controlled SBICs that make quarterly or semiannual interest payments.The bill also expands the amounts that may be excluded from the calculation of the financing limit to include the amounts an SBIC invests in (1) rural areas, (2) certain technology categories, or (3) small manufacturers. The bill revises the cap on such excluded amounts to the lesser of $125 million or the aggregate of 50% of the private capital of the SBIC.Additionally, the bill expands what is considered the private capital of an SBIC to include funds obtained from the business revenue of additional government-sponsored corporations and funds invested by the trust or endowment of a college or university.
Latest Action
Received in the Senate and Read twice and referred to the Committee on Small Business and Entrepreneurship.