Unlocking Capital for Small Businesses Act of 2023

Unlocking Capital for Small Businesses Act of 2023

This bill revises the regulatory treatment of private-placement brokers (brokers who receive transaction-based compensation for the sale of securities to preselected individuals or institutions) and finders (private-placement brokers who do not exceed a specified amount of compensation, transaction value, or number of transactions in a year).

Specifically, the bill (1) requires the Securities and Exchange Commission to establish registration requirements for private-placement brokers that are no more stringent than those imposed on crowdfunding portals, (2) allows for membership in any national securities association for private-placement brokers, (3) exempts private-placement brokers from broker regulations, and (4) otherwise modifies provisions related to private-placement brokers and finders.

Bill 118 hr 2590, also known as the Unlocking Capital for Small Businesses Act of 2023, aims to provide small businesses with greater access to capital in order to help them grow and thrive. The bill focuses on removing barriers that prevent small businesses from obtaining the funding they need to expand and create jobs.

One key provision of the bill is the establishment of a new loan program specifically designed for small businesses. This program will provide low-interest loans to small businesses that may not qualify for traditional bank loans. By offering these loans, the bill aims to help small businesses access the capital they need to invest in new equipment, hire more employees, and expand their operations.

In addition to the loan program, the bill also includes provisions to streamline the process for small businesses to apply for and receive funding. This includes reducing paperwork requirements and simplifying the application process, making it easier for small businesses to access the capital they need quickly and efficiently. Overall, the Unlocking Capital for Small Businesses Act of 2023 is designed to support small businesses and help them succeed in today's competitive market. By providing greater access to capital and streamlining the funding process, the bill aims to empower small businesses to grow, create jobs, and contribute to the overall economic prosperity of the United States.