Dismantling of the Small Business Administration is a Crime Against America’s Entrepreneurs

“The actions of the Trump administration and its Deleter-in-Chief, Elon Musk, to dismantle the U.S. Small Business Administration (SBA) are a crime against America’s entrepreneurs. The fact that SBA staff size has already been cut by 720 workers would mean that the agency has lost approximately 20% of its workforce. Given that SBA was already understaffed, this raises serious doubts about the ability of the agency to adequately serve the millions of small businesses that rely on SBA for everything from launching to expanding to surviving natural disasters.

We are also deeply worried that Trump administration directives to halt all federal funding will make it impossible for small businesses to access critical loans and grants. This includes $5 billion for capital access programs through the State Small Business Credit Initiative (SSBCI) that is already obligated, but not yet disbursed, to the states and Native American tribes, as well as the $147 million in unobligated administrative funds needed for the U.S. Treasury Department to oversee the SSBCI program for the next five years. That federal courts have already ordered the Trump administration to unlock frozen federal money and the administration has not complied is highly disturbing and risks a constitutional crisis at the expense of small businesses.

SBA has long enjoyed bi-partisan support because it has always carried out its mission regardless of the administration in office and without deference to political whims. But now, the horrendous travesties being carried out by the Trump administration are putting the very existence of SBA in jeopardy. SBA has been an integral part of our nation’s small business boom in recent years, supporting the growth of more than 20 million new small businesses from 2021-2024. To prevent this unprecedented growth from coming to a screeching halt, we demand that all efforts to diminish the ability of SBA to serve our nation’s small businesses must stop immediately, and work must be done to build the agency back better than it was before the Trump administration started swinging its bureaucratic hammer. If the SBA is not protected, the viability of our entire economy is at risk, along with the livelihoods of millions of small business owners and their employees.”