LIONs Act of 2025
The Loans In Our Neighborhoods Act of 2025 (LIONs Act) is a Senate bill that would raise the borrowing caps for two federal small-business loan programs. Specifically, it would increase the maximum size of a single 7(a) loan under the Small Business Act and raise the maximum sizes for Development Company loans under the Small Business Investment Act of 1958. The intent is to give small businesses and development companies access to larger amounts of capital through these SBA programs, potentially enabling bigger projects and growth in neighborhoods served by SBA lenders and SBICs. The bill’s changes would be implemented by amending current statute and would take effect without creating new funding; it alters the upper limits on loan amounts. The bill was introduced in the Senate by Senator Tillis and, as of the latest update in the text, had moved from the Banking committee to the Small Business and Entrepreneurship committee for further consideration.
Key Points
- 1Short title: The bill is called the Loans In Our Neighborhoods Act of 2025, or the LIONs Act of 2025.
- 27(a) loan cap increased: Section 2 would update the maximum size of a 7(a) loan from $3,750,000 (and related threshold language) to $7,500,000, with an exception for loans where the gross amount would exceed $10,000,000.
- 3Development Company loans increased: Section 3 would raise two development company loan caps under the Small Business Investment Act from $5,000,000 and $5,500,000 to $10,000,000 in each case.
- 4Programs affected: The changes apply to the SBA’s 7(a) loan program and to Development Company loans (SBIC) that are funded or guaranteed under the Small Business Investment Act.
- 5Legislative status: Introduced in the Senate (sponsor listed as Mr. Tillis in the text); initially referred to the Senate Committee on Banking, Housing, and Urban Affairs, later discharged and referred to the Committee on Small Business and Entrepreneurship for consideration.