WASHINGTON — United States Senators Todd Young, Republican of Indiana; Jacky Rosen, Democrat of Nevada; Ted Budd, RN.C.; and Jeanne Shaheen, DN.H., on July 18 introduced bipartisan legislation to help small business owners integrate digital tools into their businesses. The Small Business Technology Advancement Act would clarify that small businesses can use the Small Business Administration’s 7(a) loan program to finance technology that supports day-to-day operations, including inventory management, product delivery, and sales. accounting systems.
“Technological advances have created opportunities for small businesses to take advantage of the digital economy and expand their customer base. However, the high initial and ongoing costs associated with these technologies can pose financial challenges,” Young said in the announcement. “Our bipartisan bill would mitigate these economic barriers, making it easier for small businesses to adopt digital tools in Indiana and across the country.”
“Small businesses are the heart of Nevada’s economy and I will continue to do everything I can to help them thrive,” Rosen said. “This bipartisan legislation will eliminate red tape and give small businesses the resources to modernize their systems and better compete in this digital age.
“Allowing job creators to use 7(a) loans for digital business tools is a common sense way to help small businesses compete in the 21st century economy. Thank you Senator Young for proposing this bill,” Budd said.
“The global economy has become more dependent on technology and the pandemic has only accelerated that trend, forcing companies to use new software, digital tools and work online. When small businesses incorporate more technology into their operations, they are more likely to grow and provide more good jobs,” Shaheen said. “The Small Business Technology Advancement Act will clarify that small businesses can use SBA 7(a) loans to access these important digital tools to help run and grow their businesses.
Recent years have seen an accelerated digital transformation among small businesses, driving the adoption of software for business continuity, customer engagement and remote work support, according to an announcement from the senators. The Small Business Technology Advancement Act would help small businesses continue to close this technology gap by amending the Small Business Act to clarify that 7(a) loan borrowers can finance commercial software or cloud computing services for which they following:
• Facilitate daily operations
• Delivery of products or services
• Processing, payment and tracking of payroll expenses
• Sales and billing functions and/or
• Accounting or tracking of supplies, inventory, records and expenses
The legislative text can be found attached to this story at FWNegocios.com.
