Investing in the American Dream Act

Clarified Loan Eligibility: The bill provides specific definitions for "covered loans," which includes loans guaranteed under section 7(a) of the Small Business Act, microloans under section 7(m) of the Small Business Act, and other specific guarantees (Section 2).

Expanded Ownership Recognition: The bill ensures that small business concerns cannot be denied eligibility for a covered loan solely because they are owned by "eligible individuals" (Section 3(b)).

Specific Benefits for Eligible Individuals: Certain groups, including those granted asylum, refugees, specific nonimmigrants with authorized stays, those with lawful permanent residence, and those granted deferred action, are recognized as "eligible individuals" who can help a business meet the 51 percent ownership and control requirement (Section 2).

Ownership Restrictions: To be eligible for a covered loan, a small business concern must be at least 51 percent owned and controlled by U.S. citizens, nationals, or the defined "eligible individuals" (Section 3(a)).

Limited Authority: The bill includes a rule of construction that prevents the Small Business Administration from increasing the percentage of the ownership requirement established in the Act (Section 3(c)).