Obama signs $42 billion small business lending bill
Today, President Barack Obama signed a hefty piece of legislation designed to help small businesses around the country in an effort to give the economy an upward boost and to potentially decrease the national unemployment rate from 9.6 percent.
Obama signed into law a $42 billion small business lending bill into law that will include an additional $12 billion in tax breaks for small companies, as well as a $30 billion fund that would be run by the Treasury Department.
In a statement published on the White House's blog, Obama said the bill was geared toward small businesses because they "produce most of the new jobs in this country."
"They are the anchors of our Main Streets. They are part of the promise of America – the idea that if you’ve got a dream and you’re willing to work hard, you can succeed," Obama said.
However, Obama was quick to mention that the bill was not an overall solution for the country to pick itself up from the recent economic crisis, but that it was a start.
According to a White House fact sheet about the bill, which was published in part by USA Today, the bill will allow small businesses to write off the first $500,000 of any new equipment they purchase.
It will also provide some relief for new small businesses, adding that entrepreneurs could deduct the first $10,000 of their start-up costs.
The announcement of the bill signing may add a boost to some Democratic Congressional races, some of which have been struggling against Republican candidates who have used the weak job market and unemployment rate as the cornerstone of their campaign.
Republicans have been quick to describe the bill as "a smaller version of the unpopular Wall Street bank rescue effort," which didn't go through until two GOP senators, George Voinovich of Ohio and George LeMieux of Florida, broke rank, Reuters reports.