Helping Small Businesses THRIVE Act

Risk Mitigation for Small Businesses: The program's purpose is to assist eligible entities in limiting the risk faced by those entities regarding rising input costs from commodities. (Section 3(a)(2))

Protection Against Price Spikes: The Administrator may offer call option purchase agreements to protect eligible entities in cases where the price of a covered commodity increases by more than 5 percent. (Section 4(a)(2)(D)(i))

Lower Costs for Participants: Agreements for covered commodities or derivatives must be offered to eligible entities at cost, which includes any fees and commissions incurred by the Administrator. (Section 4(a)(2)(C))

Access to Essential Commodities: The bill ensures that gasoline and diesel gasoline are covered commodities, providing a hedge against these specific essential costs. (Section 4(b)(2)(A))

Financial Responsibility of the Small Business: Every agreement entered into must clearly state that the eligible entity is responsible for all costs associated with the agreement. (Section 4(a)(2)(D)(ii))

Upfront Costs: Small businesses must pay any initial costs at the time they enter into an agreement. (Section 4(a)(2)(D)(ii))

Exclusion of Certain Small Businesses: Small businesses that have been in operation for less than 1 year are not considered eligible entities. (Section 2(4)(B)(v))

Restrictions on Eligibility: Certain entities, such as those owned or controlled by financial institutions, investment advisers, or brokers, are excluded from participating in the program. (Section 2(4)(B))