Small Business Funds to Venture Capitalists?
SmallBusinessNewz is reporting that Congresswoman Nydia Velazquez is pushing hard to get an amendment to the Small Business Act pushed through. This amendment would redefine what a “Small Business” is, and allow large businesses owned up to 49% by Venture Capital Firms to get funding from the Small Business Administration. This means that legitimately small business firms will miss out. And this time it’s the Dems pushing for the giveaway. SmallBusinessNewz speculates that the giveaway is a “thank you” to the VCs who have been supporting Dems.
This amendment to the Small Business Act is a gift to the businesses who need it least. Redefining the definition of a “small” business so that medium to large businesses that are up to 49% owned by Venture Capitalists to allow them to access funds that have always been directed to what are truly small businesses run by one person, will kill the part of the economy that most needs the help, and develops the most jobs at lower levels, especially in PA. Redirecting those funds to companies controlled by Wall Streeters and VC types, who are largely responsible for the current economic crisis, does no one any good except the Wall Streeters and VC types, and rewards them for their bad behavior.
Please contact your Representative and ask them to oppose this awful amendment.
