Bill Details
S.305 - 119th Congress
Status
Latest action
2025-05-21 - Committee on Small Business and Entrepreneurship. Hearings held.
Introduced Date
2025-01-29
Policy Area
Commerce
Committees
View committees (1)
Sponsors
Cosponsors
8
0
0
AI Summary This summary was generated by AI from the bill text. AI can get information wrong.
This bill would expand the types of costs that small business loans from the Small Business Administration can cover. It would let small businesses use these loans to buy modern business software and cloud-based services that help with everyday operations, such as payroll, human resources, sales, billing, accounting, inventory, and record keeping. It also includes business tools that use artificial intelligence. The bill is meant to make it easier for small businesses to update their technology and run more efficiently.
- Loans could be used to pay for software and cloud services that support business operations and the delivery of products or services.
- The bill specifically includes tools for payroll, human resources, sales, billing, accounting, inventory tracking, records, and expense tracking.
- It says these loans still cannot be used for research and development.
- It also makes clear that the change does not narrow the meaning of working capital under small business law.
Official Summaries
No summaries available
Current Full Text
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 305 Introduced in Senate (IS)]
<DOC>
119th CONGRESS
1st Session
S. 305
To authorize small business loans to finance access to modern business
software, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
January 29, 2025
Mr. Young (for himself, Ms. Rosen, Mr. Budd, Mrs. Shaheen, and Mr.
Hickenlooper) introduced the following bill; which was read twice and
referred to the Committee on Small Business and Entrepreneurship
_______________________________________________________________________
A BILL
To authorize small business loans to finance access to modern business
software, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Small Business Technological Act of
2025''.
SEC. 2. ADDITIONAL USES FOR SMALL BUSINESS ADMINISTRATION BUSINESS
LOANS.
(a) In General.--Section 7(a) of the Small Business Act (15 U.S.C.
636(a)) is amended by adding at the end the following:
``(38) Access to modern business software.--The
Administration may provide loans under this subsection to
finance, in whole or in part, business software or cloud
computing services, or any such technology, that facilitates
business operations, product or service delivery, the
processing, payment, or tracking of payroll expenses, human
resources, sales and billing functions, or accounting or
tracking of supplies, inventory, records and expenses,
including business tools that utilize artificial
intelligence.''.
(b) Rule of Construction.--Nothing in the amendment made by
subsection (a) shall be construed to--
(1) provide that loans made under section 7(a) of the Small
Business Act (15 U.S.C. 636(a)) before the date of enactment of
this Act for the purposes described in paragraph (38) of such
section 7(a), as added by subsection (a), were not permissible;
(2) authorize the use of loans made under section 7(a) of
the Small Business Act (15 U.S.C. 636(a)) for research and
development purposes; or
(3) limit the definition of working capital under the Small
Business Act (15 U.S.C. 631 et seq.).
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