President Donald Trump’s administration announced earlier this montha series of efforts designed to cut regulations and increase access to capital for the nation’s smaller manufacturers.
Increasing Access to Capital
The “Made in America Manufacturing Initiative” from the U.S. Small Business Administration would, in part, alter a pair of federal funding programs: the 7(a) Working Capital Pilot program and the 504 loan program.
It would expand the 7(a) program, which officials said provides financing for inventory purchases and expenses related to exporting internationally, and “reduce barriers” to the 504 program, a fee-based program that provides capital for real estate, construction projects, and equipment.
The SBA also said it would partner with other agencies, trade schools, and “private-sector stakeholders” to create a skilled worker pipeline. However, additional details of that effort were not announced.
Cutting Regulations
SBA officials also said its Office of Advocacy would seek to cut “$100 billion in regulation.” The details of which “rules, policies, and procedures” might be included in those cuts were not specified.
New Hotline, Roadshow
Additional efforts under the “Made in America” program included a “Red Tape Hotline” for small business owners and manufacturers, partnerships between businesses and regional SBA field offices, and a series of “roadshow sessions” — the first of which took place across several Midwestern cities this month.
Agency to Slash its Workforce
The announcement came days before the SBA disclosed plans to cut its workforce by more than 40% — totaling some 2,700 jobs — as part of an “agency-wide reorganization.”
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