Veteran Entrepreneurship Empowerment Act
Summary
The Veteran Entrepreneurship Empowerment Act aims to support veteran-owned small businesses by waiving guarantee fees for certain business loans and reducing equity injection requirements. This bill amends the Small Business Act and the Small Business Investment Act of 1958 to provide these benefits. It also mandates the Small Business Administration (SBA) to collect and report data on the participation of veterans in loan and entrepreneurial development programs.
Expected Effects
The Act is likely to increase access to capital for veteran entrepreneurs by reducing the financial burden of loan guarantee fees and equity requirements. This could lead to an increase in the number of veteran-owned small businesses and their success rates. The reporting requirements will also provide better data on the needs and participation of veteran entrepreneurs.
Potential Benefits
- Increased access to capital for veteran-owned small businesses.
- Reduced financial burden through waived guarantee fees.
- Lower equity injection requirements for startup loans.
- Improved data collection and reporting on veteran participation in SBA programs.
- Potential for increased job creation and economic growth within the veteran community.
Potential Disadvantages
- Potential increased risk for the SBA due to waived fees.
- Possible administrative burden for implementing and tracking the waivers.
- Risk of unintended consequences if the waivers are not properly targeted.
- May create a slight disadvantage for non-veteran entrepreneurs.
- The cost of the program is not explicitly addressed, potentially impacting other SBA programs.
Constitutional Alignment
This bill aligns with the Constitution's general welfare clause (Preamble) by promoting economic opportunities for veterans. Congress has the power to regulate commerce and provide for the common defense, which includes supporting veterans' economic well-being after their service. The bill does not appear to infringe on any specific constitutional rights or limitations.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).