H.R. 9491: Prison to Proprietorship Act

This bill would add a new program to the Small Business Act to help certain people in federal prison prepare for entrepreneurship before they are released.

What the program would do

The Small Business Administration (SBA), working with the Bureau of Prisons, would arrange for women’s business centers and small business development centers to provide business counseling and training to eligible incarcerated people in federal prisons.

Who would be eligible

The bill defines covered individuals as people incarcerated in federal prisons that are classified as minimum, low, or medium security.

What kind of help would be provided

The required services would be focused on starting or expanding a small business and would include:

• General counseling and training on entrepreneurship
• Help identifying business opportunities
• Assistance with résumés, business plans, and transition plans
• Information on finding capital or funding
• Help connecting with local small business resources
• A presentation on self-employment and business ownership
• A self-study manual covering entrepreneurship, financial literacy, and related life skills
• Five two-day classroom training sessions
• One-on-one training to help develop business plans and startup strategies

How the program would be organized

The SBA would have to create and update, at least annually, a plan to match prison facilities with nearby women’s business centers or small business development centers. If the closest center cannot provide the services, another center or an associated organization would have to step in.

The bill also says the SBA may award grants, if money is available, to associations of these centers to help coordinate the program, develop curriculum, train instructors and mentors, form partnerships, and identify ways to access capital.

After-release services and completion

People receiving the services could continue after release from federal custody. Anyone who completes the program would receive a certificate.

Prioritization and reporting

The SBA would be directed, as practicable, to prioritize people who are expected to be released within 18 months after starting the services.

The bill would also require:

• Surveying participants about their satisfaction with the services
• Annual reports to Congress starting one year after enactment
• Reporting on the number of people served, hours of counseling, certificates issued, participant understanding of business concepts, and survey results

Funding

The SBA would reimburse the participating centers and related associations for the costs of providing the services, but only if appropriated funds are available.

Relevant Companies

None found