S.305 Small Business Technological Act of 2025

Proposed 2025-01-29 | Official source

Summary

Amends the Small Business Act to permit loans for business software, including AI-utilizing tools. Specifies that loans for specified software purposes before enactment are permissible. Prohibits loan use for research and development. Does not affect working capital definitions.

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This document has not been enacted or otherwise finalized and is subject to change. This summary is based on a copy of the document collected 2025-04-15 - refer to the official source for the most current version.

Key facts

🏛️ This document has been proposed by the United States Congress, but is not yet enacted. For authoritative text and metadata, visit the official source.

📜 This document's name is S.305 Small Business Technological Act of 2025.

Themes AI risks, applications, governance strategies, and other themes addressed in AGORA documents.

This document has not been enacted or otherwise finalized and is subject to change. This summary is based on a copy of the document collected 2025-04-15 - refer to the official source for the most current version.

Thematic tags are in progress.

Full text

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A BILL To authorize small business loans to finance access to modern business software, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. Short title. This Act may be cited as the “Small Business Technological Act of 2025”.

SEC. 2. Additional uses for small business administration business loans. (a) In general.—Section 7(a) of the Small Business Act (15 U.S.C. 636(a)) is amended by adding at the end the following: “(38) ACCESS TO MODERN BUSINESS SOFTWARE.—The Administration may provide loans under this subsection to finance, in whole or in part, business software or cloud computing services, or any such technology, that facilitates business operations, product or service delivery, the processing, payment, or tracking of payroll expenses, human resources, sales and billing functions, or accounting or tracking of supplies, inventory, records and expenses, including business tools that utilize artificial intelligence.”.

(b) Rule of construction.—Nothing in the amendment made by subsection (a) shall be construed to— (1) provide that loans made under section 7(a) of the Small Business Act (15 U.S.C. 636(a)) before the date of enactment of this Act for the purposes described in paragraph (38) of such section 7(a), as added by subsection (a), were not permissible; (2) authorize the use of loans made under section 7(a) of the Small Business Act (15 U.S.C. 636(a)) for research and development purposes; or (3) limit the definition of working capital under the Small Business Act (15 U.S.C. 631 et seq.).