H.R. 6600: Main Street Lending Improvement Act of 2025

This bill, known as the Main Street Lending Improvement Act of 2025, mandates a comprehensive study on the disbursement process of small business loans in the United States. This study aims to understand and potentially improve how quickly and effectively loans are distributed to small businesses. Here are the key components of the bill:

Study Requirements

The Comptroller General of the United States is directed to conduct a study focusing on the small business loan disbursement process. This study will cover data from January 1, 2021, to December 31, 2024, and will analyze disbursement processes in various regions.

Data Analysis

For each covered region (which includes parts of the Appalachian region), the study will assess:

• Average Timeframes: How long it takes from the moment a small business submits a loan application to when the loan funds are disbursed.
• Application Process Efficiency: The time required to complete each step of the application and disbursement process.
• Loan Distribution Metrics: The number of small business loans disbursed relative to the total number of small business concerns in the region, scaled per 1,000 businesses.
• Loan Amounts: Average and median dollar amounts of loans issued.
• Total Loan Value Analysis: Total dollar amounts of loans distributed, divided by the number of small business concerns in the region, scaled per 1,000 businesses.

Reporting Requirements

The bill stipulates that the Comptroller General must provide an interim briefing to Congress within one year of the bill's enactment and a complete report within two years. This report will detail the findings of the study and include recommendations for improving the small business loan process which may involve:

• Enhancing accessibility to small business loans.
• Reducing the time taken to disburse loans after application submission.
• Increasing transparency and communication with loan applicants regarding their application status.
• Identifying internal processes within agencies that could be streamlined to reduce inefficiencies in loan processing.

Definitions

Key terms defined in the bill include:

• Covered Region: Regions that include parts of the Appalachian region.
• Appalachian Region: Defined according to statutory guidelines.
• Region of the Administration: As defined in the Small Business Act.
• Small Business Concern: As defined under the Small Business Act.
• Small Business Loan: Loans made under specific sections of the Small Business Investment Act, excluding pandemic-related loan programs.

Relevant Companies

None found