The Small Business Administration

The Small Business Administration (SBA) is a United States government agency that provides support to entrepreneurs and small businesses.

Key Points

The U.S. government actively supports the creation of new business and the expansion of existing companies through the SBA.
The SBA promotes commerce in the U.S. in a number of ways, from simple advice and information to actual funding.
Many of the new jobs in the U.S. economy are created by small businesses.

Terms

organigraph
Organigraphs expose critical associations and competitive opportunities as opposed to viewing all parties, departments, and business units as separate entities. They also reveal relationships between departments, products, supply chains, and more within an organization that might not otherwise be apparent.
organization chart
A graphic display of reporting relationships in an organization, sometimes displaying position titles and position holders.

Full Text

The Small Business Administration

The Small Business Administration (SBA) is a United States government agency that provides support to entrepreneurs and small businesses. The mission of the Small Business Administration is "to maintain and strengthen the nation's economy by enabling the establishment and viability of small businesses and by assisting in the economic recovery of communities after disasters. " The agency's activities are summarized as the 3 Cs of capital, contracts, and counseling. Many of the new jobs in the U.S. economy are created by small businesses

The Small Business Administration

Seal of the U.S. Small Business Administration

SBA loans are made through banks, credit unions, and other lenders who partner with the SBA. The SBA provides a government-backed guarantee on part of the loan. Under the Recovery Act and the Small Business Jobs Act, SBA loans were enhanced to provide up to a 90 percent guarantee in order to strengthen access to capital for small businesses after credit froze in 2008. The agency had record lending volumes in late 2010.

The SBA helps lead the federal government's efforts to deliver 23% of prime federal contracts to small businesses. Small business contracting programs include efforts to ensure that certain federal contracts reach woman-owned and disabled veteran-owned small businesses.

SBA has at least one office in each U.S. state. In addition, the agency provides grants to support counseling partners, including approximately 900 Small Business Development Centers (often located at colleges and universities); 110 Women's Business Centers; and SCORE, a volunteer mentor corps of retired and experienced business leaders with approximately 350 chapters. These counseling services provide services to over one million entrepreneurs and small business owners annually.

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