State Senate passes loan program for veteran-owned businesses

The state Senate recently passed legislation that would create a $5 million guaranteed loan program for veteran-owned businesses.

Senate Bill 830 would create a Veteran-owned Business Loan Guarantee Program within the Commonwealth Financing Authority. The program would guarantee commercial lending institutions that make loans to veteran-owned businesses up to $250,000.

In the United States, approximately 5.9 percent of all businesses are veteran-owned businesses, according to the U.S. Census Bureau. These businesses employ approximately 3.9 million people with approximately $177.7 billion in annual payroll and an estimated $947 billion in receipts.

“Pennsylvania’s veterans have earned the right to be treated fairly and to have every opportunity to rebuild their civilian lives, and in the process, contribute to the communities they live in by helping to rebuild Pennsylvania’s economy,” state Sen. John Yudichak (I-Luzerne/Carbon), who sponsored the bill, said. “Under Senate Bill 830, veterans will have access to the necessary capital to restart their careers and build stronger, more prosperous businesses that will improve their lives and the lives of all Pennsylvanians.”

The Senate Community, Economic & Recreational Development Committee had advanced the bill with an unanimous vote. Yudichak is committee chairman.

The bill now moves to the House of Representatives.