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Small Business Administration Administrator Karen Mills on efforts to boost investment in small businesses in rural areas.
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Down to business on jobs President Obama announcing He will unveil a major new initiative in September.
To help jump start languishing employment but given he's in the middle of a highly publicized jobs -- in the midwest.
Shouldn't be doing it now what how will this new plan specifically help struggling small businesses hire.
For more let's bring in Karen mills administrator of the Small Business Administration -- joins me now in claimants money maker and well let's take it to you care and the SBA just announced that you're going to nearly double your investment.
In small businesses but targeting rural areas tell us -- about 315 million dollars right.
That's right you know we are here in.
Iowa talking to small businesses the president tested a break -- group with me and -- several small businesses where we talked about access to capital.
And one of the things that we know.
Is that there's a lot of -- -- -- businesses all across rural America.
But most of the capital goes to the East Coast and the West Coast particularly growth capitals for.
Really the fast growing small businesses that create a lot of the jobs so at the SBA we actually have a program.
That turns out to have no cost to taxpayers and we're gonna take the amount that we currently have going into -- America and we're gonna double -- over the next five years because we saw a lot of really incredibly.
Innovative entrepreneurs here.
And they need that tool that access to capital to grow their businesses -- -- what what types of small businesses specifically are actually doing really well right now.
Well there's all kinds of businesses that are doing well and many many that are struggling everybody.
Really had a hard time in a small business community when the credit markets froze in October 2008.
We're able to -- about fifty billion dollars -- regular loan money.
-- -- that environment and now we're back up to about 2008 levels in SBA lending.
But there are gaps small loans main street businesses an underserved communities still don't have access to capital.
And that's where unemployment is high so we've got a special effort to get more capital.
Through community based lenders.
Who know where the opportunities are right and can get those storefronts -- -- didn't get those businesses backed up and that's more of a face to face type of old style lending isn't it you know the president is expected to launch a new jobs initiative in September.
Should we be doing it now.
Well we are doing and now as you saw from the announcement.
But we're gonna continue to put a high priority.
On strong ideas that get people back to work particularly.
In small businesses small businesses.
Our two out of every three jobs OK let me our regular people who will issue is gas demand Karen in the end no business is going to hire her grow until they see the demand this feels like such a catch 22 to so many of us.
How do you stimulate demand.
Well demand is absolutely critical.
But small businesses now that have demand are saying to me.
You know I'm I'm just on the fence as to whether to take that next daughter and hire that next person.
I want to make sure that we're in a good solid place.
Fed the economy won't go down -- stay where it is and get better.
And that's what we need to do provide that kind of security and make sure they have cash in their pocket.
It's a small business has a little bit more cash in their pocket like they had from -- sixteen tax credits -- did so far.
Then they have the ability to take that next -- love.
The tax credits I know they do but the regulation.
Is smacking down small businesses not just the big ones Karen.
Did today in this round table that you have with the president.
Did -- address that because we've had small businesses on here -- some of the -- California they've got sixteen different things they have to file anxious not.
That that is -- had to rant on many of these companies that some people look at it and say I can't deal I'm going to China.
Well the president absolutely dressed in fact He addressed it back in January.
He said to all the agencies.
Make sure that you do a review of all your regulation.
And get rid of the stuff.
That is -- causing excess problems particularly for small business and that's a process we've been going through but we're taking it even a step further.
Because it's not just the regulation that small business has trouble with.
They -- to be able to navigate government more seamlessly they want less paperwork.
And we've been able -- the SBA to cut our paperwork down could make things more seamless and that's kind of the government of the future and that's something the president.
Came in talking about and we are pressing very hard on throughout lots of agencies.
Please yes because small businesses -- the backbone of this economy they need less.
The paperwork and bureaucracy not more Karen good to see thank you so much for joining us on Fox Business see it.
Right after she's finished up with the president she comes to us administrator of the Small Business Administration will.
