American Entrepreneurs First Act of 2025
The American Entrepreneurs First Act of 2025 would tighten the citizenship and immigration status verification requirements for Small Business Administration (SBA) loan programs, specifically those under section 7(a) of the Small Business Act and Title V of the Small Business Investment Act. If enacted, the SBA would require loan applicants to provide detailed citizenship status information, including birth dates, certification of citizenship/nationality/LPR status, or certification that any loan ownership is 100 percent held by individuals with allowed statuses. It would also require documentation of alien registration numbers for any lawful permanent residents who are applicants or owners, and would bar loans if these requirements are not met or if any owner is deemed an “ineligible person.” The bill defines ineligible persons to include asylees, refugees, individuals issued visas to remain, certain nonimmigrants, DACA recipients, and individuals present without lawful status. By restricting eligibility to applicants and owners with certain immigration statuses, the measure aims to ensure SBA loan funds go to participants meeting these status criteria, while potentially excluding many immigrant entrepreneurs from eligibility. The bill has passed the House and was received in the Senate, where it was referred to the Committee on Small Business and Entrepreneurship. Its sponsor is not specified in the provided text. If enacted, it would change the application process for SBA loans and could affect access to capital for immigrant-owned businesses and for those with mixed ownership structures.
Key Points
- 1Requires the SBA to include citizenship status documentation in applications for SBA 7(a) loans and Title V SBIC loans, including birth dates for each applicant or owner.
- 2Mandates certifications that applicants or applicant concerns meet specific status criteria: either US citizenship/nationality/LPR status, or 100 percent ownership by individuals with those statuses.
- 3Requires certification that no direct or indirect owner is an “ineligible person” and requires alien registration numbers for LPRs who are applicants or owners.
- 4Establishes that an applicant is ineligible for these loan programs if required information is missing, or if any owner is an ineligible person.
- 5Defines “ineligible person” to include asylees, refugees, individuals issued visas to remain, certain nonimmigrants, DACA recipients, and individuals present in the U.S. without lawful status.