The bank’s internal investigation found up to 125 employees applied for relief intended for small businesses.
Under proposed legislation, smaller businesses would be targeted, and they would have to show a 50% revenue drop.
“Congress must once again act urgently to support our most vulnerable small businesses through this crisis."
New guidance from the SBA comes after a public outcry over large companies receiving hundreds of millions of dollars in loans.
The government shutdown, now in its 28th day, is creating a backlog of loan approvals.
But Rep. Nydia M. Velázquez has introduced legislation to raise the small business loan guaranty limit to $23.5 billion.
Nearly 80% are unfamiliar with crowdinvesting and other new avenues for private financing.
The number of approved government-backed loans also rose, to 52,044, up 12%.
Working capital loans of $150,000 or less will incur no upfront guaranty fee or annual servicing fee.
A new Small Business Administration rule will make it easier for companies to secure government-backed loans.
Business development companies are thriving at middle-market lending. Should regulators be worried?
The newly nominated chief of the Small Business Administration is a business founder, a community bank chairwoman and a Latina.
