SBA Hot Topic Tuesday — Administrator Loeffler’s Support of a $10 Million 7(a) Loan Cap for Manufacturers
May 27, 2025
Bob Coleman
Founder & Publisher
SBA Hot Topic Tuesday — Administrator Loeffler’s Support of a $10 Million 7(a) Loan Cap for Manufacturers
The following passage has been condensed and edited from Administrator Kelly Loeffler’s testimony before the Senate Small Business Committee last week:
Thank you Chair Ernst, Ranking Member Markey, and Committee Members for the opportunity to speak today about the Made in America Manufacturing Finance Act of 2025. This historic legislation will revitalize American manufacturing, create jobs, and strengthen our economic independence.
The Act will double SBA loan caps for small manufacturers – the first increase in over a decade. This will provide crucial capital for onshoring production and rebuilding supply chains. Small manufacturers, which make up 99% of U.S. manufacturers, are vital across industries from aerospace to agriculture. They produce the components that drive our economy and support our national security.
Thanks to pro-growth policies, demand for American goods is rising. In the first 100 days of this administration, SBA manufacturing loan approvals increased 74% compared to the previous term. While manufacturers are growing again, they need more support to reach their full potential.
In recent months, our agency has met with over 300 small manufacturers through our new Made in America initiative. Across the country, access to capital remains their top concern. This Act directly addresses that need while reducing reliance on foreign adversaries and empowering American workers.
I’m grateful for the bipartisan support this bill has received. Boosting American manufacturing and jobs is an objective we can all unite behind. With inflation down, private investment up, and new trade deals in progress, our economy is primed for growth. The SBA stands ready to help small businesses lead the way.
We’ve made significant changes at the SBA to better serve small businesses:
– Streamlined operations and enhanced accountability
– Shifted resources from Washington to local district offices
– Cancelled wasteful contracts, saving over $3 billion
– Restored financial integrity to loan programs
– Implemented stronger verification protocols
– Refocused on free enterprise principles
– Launched new initiatives to support American manufacturing
These efforts are already showing results. Loan approvals are up 80% in our first 100 days compared to the previous administration. Loans to the smallest businesses have nearly doubled. And small business federal contract awards have increased from 18% to 23%.
The Made in America Manufacturing Finance Act builds on this progress. It provides the capital that manufacturers and lenders have requested to fuel America’s industrial resurgence. I urge your support for this responsive, impactful legislation.
Thank you again for your leadership on this issue. I look forward to working together to pass this bill and to answering any questions you may have.