Washington, D.C. – Today, U.S. Representative Beth Van Duyne (R-TX-24) and Representative Michael Cloud (R-TX-27) introduced the American Entrepreneurs First Act to ensure only qualified individuals are eligible to access Small Business Administration (SBA) programs. The American Entrepreneurs First Act will mandate that individuals and businesses must verify the citizenship status and age of each individual applicant or business owner in order to be considered for SBA loans. The introduction of this legislation follows an Executive Order by President Trump and announcement from SBA Administrator Loeffler directing the agency to reform its application process to put Americans first and ensure program funds are not being accessed by illegal immigrants or other unqualified individuals. 

"The American Entrepreneurs First Act is a common-sense measure to protect precious Small Business Administration funds by ensuring they are directed to American citizens and not accessible by individuals or businesses with foreign or undocumented ownership," said Rep. Van Duyne. “I share President Trump and SBA Administrator Loeffler’s commitment to establish this much needed verification process so only qualified individuals can benefit from SBA programs, loans, and services. Following years of pandemic era fraud and theft of public funds because of lax verification procedures, this measure serves as an ongoing effort to reform security and access to federally funded programs.”

“The American Entrepreneurs First Act puts America’s small business owners first by ensuring only U.S. Citizens can receive SBA loans,” said Chairman Roger Williams. “SBA loan programs are backed by U.S. tax dollars and should be available to U.S. citizens. Unfortunately, the Trump Administration has found various instances where these loans have been blatantly abused by foreign nationals. I thank my colleagues, Representatives Van Duyne and Cloud, for highlighting this issue and permanently fortifying the SBA against this kind of abuse. It’s time to put American entrepreneurs first again.”

“In early March, the Trump Administration announced a long overdue reform requiring citizenship verification for all SBA loans,” said Rep. Cloud. “Now, it’s up to Congress to codify this requirement into law by passing the The American Entrepreneurs First Act. With over $25 billion in SBA loans approved last year, it’s unacceptable that there’s no legal mandate ensuring those funds go to people who are here legally. American tax dollars should support American businesses—not businesses owned by those here illegally.”

Key Provisions of the American Entrepreneurs First Act:

1. Mandatory Documentation

Loan applicants must provide:

• Date of birth for each individual applicant or owner.
• Certification that the applicant is:
• A U.S. citizen, U.S. national, or lawful permanent resident (green card holder).
• Or, in the case of a business, 100% owned by individuals who meet the above criteria.

2. No Ineligible Ownership

Applicants must certify that no direct or indirect owner of the business is an “ineligible person.”

3. Lawful Permanent Residents

Must submit their alien registration number as part of the application.

Definition of "Ineligible Person":

Includes individuals who are:

• Asylees or refugees
• Visa holders (temporary residents)
• Nonimmigrants under the Immigration and Nationality Act
• DACA recipients (Deferred Action for Childhood Arrivals)
• Undocumented individuals

Click HERE for bill text.

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