Good afternoon.
It’s an honor to be here with all of you, the leaders of our nation’s cities. My service in CA has given me a deep appreciation for the value of cities in being a window into
Before I begin, I’d like to thank Mayor Fischer and Tom Cochran for welcoming me here today … I look forward to working with you both as we continue to help our nation emerge from the COVID-19 pandemic.
I’d also like to thank Mayor Kautz and Mayor Wild for your leadership on the Small Business and Entrepreneurship Task Force. I know we will be joining forces over the coming months to help the small businesses that drive our local economies rebuild and recover.
And to Mayors Whaley, Suarez and Benjamin, I look forward to getting to know you better as we work together to lift up our nation’s small business economy.
And of course, thank you Mayor Garcetti, whom I count as my former mayor, who has been a tireless champion for small businesses in Los Angeles.
Mayor Garcetti and I had the opportunity to work together during my time as California’s Small Business Advocate, and he and his staff were always ready to be innovative, proactive and agile in helping to support our state’s small businesses. He was also a tireless champion for me during my nomination process, and for that I will be forever grateful.
It’s only been a few weeks since I was sworn in as the Administrator of the US SBA and importantly as the voice for America’s small businesses, and I have to tell you that the U.S. Conference of Mayors was on my list of must-have meetings so I am so glad my intergovernmental team was moving quickly.
I remember the important partnerships forged between our two organizations during my service at the SBA in the Obama administration.
I know that you all get things done.
Especially am grateful for your leadership on our Startup in a Day competition where we saw cities step up to make government easier to navigate.
And so an early start to formalizing collaboration and opportunities to innovate together will be our signing of a Strategic Alliance Memorandum and I can’t wait to get started as…
There’s so much work to do to help our nation’s entrepreneurs get back on their feet … and I know that together, we will help them … not just survive, but thrive.
I grew up in a small business family and that planted the seed for my passion for small businesses and innovative startups.
I’ve seen with my own eyes what it takes to start, grow, and sustain a small business…and now during these times of COVID – to pivot and adapt to survive or reopen.
As a child, I remember how my father would spend his days focused on his clients at his growing veterinary practice -- treating the animals and working with their owners -- and then put in time during lunch and into the evening to review the finances, keep up on compliance, place orders, and think about growth…expanding to 5 locations at his height, investing in related startups.
Every night, he’d bring home a large briefcase full of paperwork.
It helped me understand that every small business owner needs a team. The SBA – with the vast array of programs that we offer -- can be an important part of that team. Offering capital – loans, grants, investments, as well as market access – the critical revenue side of the equation – through contracts and expansion to new markets including abroad, and finally support networks that offer the advice and counseling to help businesses at all stages of development.
We all know the stats – 2/3 of net new jobs, innovative startups with 5x multiplier on job creation, half the workforce…small businesses are powerful engines…My goal during my tenure as SBA administrator – is to make sure our nation’s 30 million small businesses and innovative startups feel like the giants they are in our economy.
Now more than ever, our nation’s economic future depends on their success.
And its more than the jobs or producing more than 40 percent of our national GDP – but they are vital bedrocks of our communities defining our main streets and neighborhoods, and also creating the products and services we have come to rely on everyday and innovating to solve global problems – building more sustainable communities.
You all know this better than anyone. I’ve heard about how important SBs are to your communities -
What would Burnsville be without Buck Hill resort?
Or Dayton without the local artisans and food vendors at Second Street Market?
Or Louisville without the Brown Hotel?
All places I hope to visit…
Our cities are defined by their small businesses.
And today, those small businesses are suffering.
More than 400,000 have closed from the COVID-19 pandemic – and millions more are at risk.
At the SBA, we’re doing everything we can to get every one of them the help they need – now.
Thanks to the leadership of President Biden and our champions in Congress, and to your invaluable support billions of dollars in targeted relief has been allocated through the American Rescue Plan.
This month, we’re rolling out a big portion of that relief through the Restaurant Revitalization Fund program – which includes $28.6 billion dollars for restaurants, bars, food trucks and food carts – and toda in fact we’ve rolled out the Shuttered Venues Operators Grant program – which directs more than $16.2 billion dollars in funds to operators of live venues, live performing arts organizations, museums, movie theaters and many more.
In addition, this bill includes $360 billion in direct financial help for state and local governments, some of which I know will be spent supporting small businesses.
President Biden also signed an extension of the Paycheck Protection Program so that we can continue to get funds to those small businesses who have not yet been able to access relief.
The Biden Harris Administration have been committed to ensuring the PPP reaches the smallest businesses – our sole proprietors, self-employed and independent contractors – and we are working hard as the funds are being disbursed quickly to reach rural, LMI and other underserved groups.
In addition, entrepreneurs with non-fraud felony convictions, those with delinquency or default on federal student loan debt and non-citizen small business owners who are lawful U.S. residents with an Individual Taxpayer Identification Number (ITIN) can apply for the PPP. We want the borrowers to reflect all of your great cities.
And of course the important changes we have made to EIDL with the American Rescue Plan -over 15 billion for grants. As well as a recent administrative change
I’m sure your all aware of SBA’s regional and District offices – we are increasing communication and collaboration to ensure that they can engage in meaningful conversations with your city leaders about how we can continue to work together to get this relief and support your local small businesses on a long-term basis. Please lean on our local offices as resources, and that they’re your partners in economic development. And I will be elevating Intergovernmental Affairs and External Affair directly in my office with a point to ensure that we step up our engagement with cities.
In addition, in the coming weeks, we’ll be rolling out our community navigator program – which was also funded by the American Rescue Plan – that will help us connect with community-based organizations who will act as bridges to small businesses in underserved communities.
Your cities will be an important part of that program.
All of these efforts are driven by our goal to reach those who need us most.
We know that too many of the smallest businesses have been left behind, – particularly those owned by women and people of color who we were seeing start businesses at the highest rates. And those disparities to access opportunity were not just prevalent during this pandemic, but historically.
I am committed to an equitable economy that works for everyone.
I’ve directed my staff to look at every program, every resource and every service we provide – and think about how to make each one more accessible to entrepreneurs without traditional supports or business structures, or those with language barriers or other challenges.
We need to eliminate the opportunity gap, and the access to capital gap, that is leaving great ideas on the cutting room floor. As well as jobs and economic output.
As President Biden and Vice President Harris have said, equity is essential for building a stronger country for us all.
While I’m implementing an SBA-wide equitable approach … I’m also creating a customer-centric approach.
We’ve heard that too often the process keeps our nation’s small businesses from getting the help they need from us.
We’re listening.
Across the SBA, I’ve told my staff that we need to be more like the small businesses we serve and put the needs of our customers first. We’ve asked them to pivot and adapt, and that is exactly what we need to do. And I know you are all doing that as well.
One year into the COVID-19 pandemic, we’re continuing to scale up.
There’s no question that this pandemic has changed the way we’ll do business forever.
We’ve gone from a $40 billion portfolio – to nearly $1 trillion in relief.
That’s unprecedented.
We’re working with more lenders than ever. We’ve vastly increased our direct lending and grants. And we’re meeting heightened demand, as well as increased awareness of our services.
Right now, we’re focused on providing immediate relief. But we’re also looking to the future to build long-term recovery to help our small businesses grow and thrive. And that is where I see great partnership with you all as well.
President Biden’s American Jobs Plan is a once-in-a-century investment in our nation’s infrastructure that will provide many opportunities for small businesses and innovative startups in your cities.
His plan rewards work, not wealth – and, as you know, small business owners are the workhorses of our economy.
It also includes $31 billion dollars in funding to give small businesses access to credit, venture capital and R&D dollars … as well as funding for incubators and innovation hubs that will support entrepreneurship in communities of color and underserved communities.
This plan is a bold investment in America’s future.
America’s small businesses are up to the task.
If we give them the tools, they will innovate, create, build, and reconfigure.
That’s what they do. That’s what the entrepreneurial spirit is all about.
It’s up to us to give them the support they need and ensure that every dream, every idea, every flash of inspiration can grow.
And I know that together, we’ll bring businesses back, create jobs, and connect all entrepreneurs in America to the support they need to start, grow, and be resilient.