Small Business Administrator Linda McMahon told FOX Business that President Trump’s overhaul of the tax code in December fueled historic-levels of optimism within the small-business community.
“When I was out visiting small businesses before the tax cuts were passed, they were asking me, ‘Are they going to get passed?’ We hope they are going to get passed. We are going to reinvest those dollars if they are.’ And that’s exactly what businesses have done,” McMahon said during an exclusive interview on FOX Business’ “Making Money with Charles Payne” on Thursday.
Since Trump signed the 2017 Tax Cuts and Jobs Act into law, small business optimism began to surge, holding at historic levels for 17 months, according to the National Federation of Independent Business (NFIB), America's leading small business association.
McMahon said innovation is the key to the continued growth of the U.S. economy.
“[Small businesses] are investing in their employees. They are hiring more. They are training more. They are increasing wages and benefits,” she said.
Loan approval for small businesses reached an all-time high in January, according to the Biz2Credit Small Business Lending Index, an online marketplace for small business funding.
McMahon said lending institutions saw the advantages of the SBA digital loan application process.
“We keep trying to reduce the paperwork and the time involved to process the loans,” she said.
The SBA’s renewed programs has created a concerted effort to increase lending opportunities in rural areas.
“[Secretary of Agriculture Sonny] Perdue and I have signed memorandum of understanding that we will work together to make sure rural development has the same opportunity for broadband, for lending,” McMahon said.