Sept. 25, 2014—U.S. Rep. Sam Graves (R-Mo.), chairman of the House Small Business Committee, recently introduced a bill to simplify the loan application process with the Small Business Administration (SBA), according to an announcement from the Automotive Service Association on Wednesday.
Under the bill, the SBA would be required to accept e-signatures and electronic records for the certification of all documents associated with the management of its financing programs.
Graves said the change could cut the application process by an average of two to three days.
“A lengthy and complicated loan application process is often a great impediment for many small businesses to secure the capital they need to get their products or services to market,” said Graves. “The majority of the time spent during the SBA loan application process consists of lenders collecting required documentation and having to seek out the ink signatures of borrowers. The Small Business Loan Simplification Act of 2014 will employ widely used and proven e-signature and records technology to reform the SBA loan process.”
The full text of the bill can be found on the SBA website.
