While the Small Business Act is silent on the issue, cooperative businesses are denied access to SBA lending programs under contradictory and outdated regulations. Lending institutions broadly interpret these regulations to deny most types of cooperatives access to SBA loans.
NCBA has been working to ensure that cooperatives can access SBA lending programs. In late 2009, the House passed HR 3854, which makes eligible all non tax-exempt cooperatives for SBA lending programs. NCBA is working to get a similar provision passed in the Senate. Please see links below to learn more about the issue and what you can do to help.
