Phillips led a bipartisan letter calling for changes to help startups in the short-term, and is leading legislation for long-term relief
WASHINGTON, DC— Congressman Dean Phillips is working to strengthen and protect the country’s start-up businesses with a pair of legislative fixes designed to provide relief for new businesses across the country.
Today, Phillips released a bipartisan letter signed by 54 of his colleagues calling on the Small Businesses Administration to update the definition of “small business” to include many of the country’s start-ups so that these companies can access relief included in $2.2 trillion CARES Act signed by President Trump last week. The SBA’s policy as written would exclude many of the nation’s startups from accessing the $350 billion small business loan program, which will lead to dire consequences for businesses across the country that are struggling along with the rest of the economy.
“We are being forced to significantly reduce our spending and extend cash runway to preserve the future of the company,” said Mike Kujak, President and CEO of Francis Medical, based in Maple Grove, Minn. “This language as written needs to be resolved immediately or companies like ours will be forced to furlough employees or take other drastic measures just to stay afloat.” Continue reading “Rep. Phillips pushes for CARES Act fix and New Business Preservation Act to shield startups”