Main Street Parity Act

This bill would reduce the financing requirements for certain Small Business Administration loans used to acquire, construct, or expand small business plants and land. Specifically, it proposes to lower the required borrower equity by 5% of the total project cost for loans involving limited or single-purpose properties.

This bill affects small business owners seeking Small Business Administration loans for the acquisition, construction, or expansion of plants and land. Specifically, it impacts borrowers financing limited or single-purpose properties by reducing the required equity contribution by 5% of the total project cost. The Small Business Administration is also affected as the agency responsible for implementing these modified financing requirements.

• Reduction of equity requirements for specific SBA loans. The bill decreases the amount of equity a borrower is required to provide by 5% of the total cost for loans involving limited or single-purpose properties.
• Expansion of eligible loan purposes. The modified financing requirements apply to Small Business Administration loans used for land acquisition, as well as the acquisition, construction, conversion, or expansion of physical plants.

This bill modifies existing Small Business Administration (SBA) loan programs by reducing the equity requirements for small businesses seeking financing for plant acquisition, construction, or expansion. Specifically, it amends the financing criteria for loans involving limited or single-purpose properties by lowering the required borrower equity contribution by 5%.

The bill aims to reduce financing barriers for small businesses seeking to acquire, construct, or expand facilities by lowering the equity requirements for certain Small Business Administration loans. Specifically, it seeks to ease the financial burden on borrowers by decreasing the required equity contribution by 5% for projects involving limited or single-purpose properties.