U.S. Rep. Young Kim (R-CA) on June 11 unveiled bipartisan legislation that aims to provide small businesses and manufacturers with expanded access to capital.
“As we reopen communities and recover from the COVID-19 pandemic, we must make sure our economy can adapt and compete in the 21st Century and beyond, which requires expanding opportunities for Americans of all backgrounds,” said Rep. Kim, ranking member of the U.S. House Small Business Subcommittee on Innovation, Entrepreneurship and Workforce Development.
The MicroCap Small Business Investing Act of 2021, H.R. 3842, which Rep. Kim introduced with bill sponsor U.S. Rep. Joe Neguse (D-CO), would incentivize investment and capital access for small business owners in low-income and underrepresented communities by establishing a MicroCap small business investment company designation that would allow for more diverse venture capital fund managers.
“I’m proud to join my colleague to introduce a bipartisan bill that will broaden the diversity in the talent pool of venture capital firms and incentivize small business owners from low-income, underserved communities to access capital to grow their business or get back on their feet,” the congresswoman said.
If enacted, H.R. 3842 would provide Small Business Investment Companies that are licensed by the Small Business Administration with new tools to find capital for small manufacturers, businesses serving low-income communities, businesses owned or controlled by individuals in underrepresented communities, and rural communities, according to a bill summary provided by Rep. Kim’s staff.
“I’ll continue to do all I can to create policies that foster innovation, economic opportunity and job growth,” said Rep. Kim.