H.R. 10328: Badge-to-Business Act

This bill would change the Small Business Act to create a special loan option for certain former or current career law enforcement officers.

What it would do

• It would allow the Small Business Administration (SBA) to make express loans to qualified career law enforcement officers without charging the usual guarantee fee, starting on January 1, 2027.
• The guarantee fee is a fee the SBA normally collects for backing certain loans. Under this bill, that fee could not be charged for these borrowers unless an exception applies.
• The SBA Administrator could still require the fee if the agency’s cost of making these loans is above zero in a fiscal year and that cost is directly tied to guaranteeing the loans.

Who would qualify

To qualify, a person would need to:

• Have completed at least 10 years of service as a career law enforcement officer;
• Be either:
  • currently working in that role and not under a pending criminal investigation or administrative proceeding for alleged misconduct connected to official duties; or
  • already separated from service and, at the time they left, not under such an investigation or proceeding.

Practical effect

In plain terms, the bill would make SBA-backed express loans cheaper for certain experienced law enforcement officers by removing a fee that is usually charged. This could make it easier for eligible officers to borrow money to start or expand a small business.

Relevant Companies

None found