On July 28, 2023, SBA published in the Federal Register a Proposed Rule, Small Business Size Standards: Adjustment of Alternative Size Standard for SBA’s 7(a) and CDC/504 Loan Programs for Inflation; and Surety Bond Limits: Adjustments for Inflation (88 FR 48739) which proposes to amend SBA’s size regulations to increase the alternative size standard used for the 7(a) and 504 loan programs to account for inflation occurring since the size standard was established in 2010.
The inflation adjustment would amend 13 CFR 121.301(b)(2) to increase the alternative size standard’s level for tangible net worth from $15 million to $20 million and its level for net income from $5 million to $6.5 million. SBA also is adjusting for inflation the applicable statutory limits for contract size under the Surety Bond Guarantee (SBG) Program. Comments on the Proposed Rule must be received by SBA on or before September 26, 2023. [Please see the Proposed Rule for complete information.]
