Senate bill would extend SBA lending program

Author:
Updated:
Original:

An amendment to the Small Business Lending Fund Act of 2010, offered by Sen. Mary Landrieu, D-La., outlines a number of NMMA-supported changes to the Small Business Administration's Dealer Floor Plan Program, including raising loan caps from $2 million to $5 million, ensuring a 100 percent advance rate and extending the program to 2013, the association said.

"One of the most important aspects of the small business bill is the extension and the expansion of [SBA 7a] loans," Landrieu said during debate on the bill. "To put this in plain English, these are the loans that the Small Business Administration partners with banks to make what we call floorplan lending. It is any business that has inventory - maybe it is a tractor company or a manufactured home company or a boat, marine industry with a small business owner - and you have some of these in Illinois, I know, Mr. President, and I have many of them in Louisiana - that has to buy inventory and put it in their showrooms for when people come by and they look at the product."

"They look at all these products they want to buy - boats, tractors, for example. They do not usually push the button to buy these products on the Internet; they go down to their local dealer," she added. "They want to walk into a showroom. They want to look at the product. They heard about it and they might have documents from the Internet. They go to their local small business, whether it is in some parts of Illinois or Louisiana down in Thibodeaux, Violet, Larose. They walk into that local marine operator and say: I have looked on the Internet and this is the kind of boat I want to buy. Do you have one in stock? If we pass this bill, he might have one in stock. If we do not pass this bill, chances are he will not be able to make that sale. That is what the [7a] lending program does."

Click here to read the NMMA's letter of support to Sen. Landrieu.

Related

Viking Holds Vaccination Event

The New Jersey-based builder is working with local healthcare providers to offer Covid-19 shots to employees and their families.

Bellingham to Supply Dock for Superyacht Marina

Bellingham Marine will design and install a floating concrete dock system at Hurricane Hole Superyacht Marina in the Bahamas.

Off the Charts

Even as builders faced order backlogs and product shortages, registrations continued to soar in March.

Maverick Boat Group Expands

The Florida-based builder plans to increase production capacity by 30 percent and add 150 new jobs.

Polaris Names CEO and CFO

Previously interim executives, Michael Speetzen was named the CEO and Bob Mack the CFO of the Minnesota-based powersports company.

Sanlorenzo Reports Q1 Financials

The Italian builder continues to gain market share and expects to debut five models at Cannes in September and launch three new lines in 2022.