WASHINGTON, D.C. – The Motor & Equipment Manufacturers Association (MEMA) praised today's House passage of H.R. 5297, the Small Business Lending Fund Act. The bill establishes a Small Business Lending Fund which will assist banks to increase small business capital investment lending. The bill also creates a State Small Business Credit Initiative that allocates federal funds for states to partner with financial institutions by directly addressing the cash flow and collateral challenges facing small manufacturers.
"Both of these provisions are absolutely necessary to increase credit availability down through the smallest manufacturer, especially parts suppliers," says Bob McKenna, MEMA's president and chief executive officer. "MEMA has worked very closely with the Administration and key supporters of the legislation who have been instrumental in addressing the credit needs of small suppliers. We are very pleased to see that the bill has passed the House."
"These programs are essential to help our industry and other manufacturing sectors move forward," McKenna continues. "We believe that they will help generate the private financing necessary for small businesses to innovate and create new jobs, a critical step in our national economic recovery. We hope that the Senate will quickly take up this legislation so it can be signed by the President and enacted as soon as possible."
Suppliers manufacture the parts and technology used in domestic production of new cars and trucks produced each year, and the aftermarket products necessary to repair and maintain more than 248 million vehicles on the road today.
MEMA supports its members through its three affiliate associations, Automotive Aftermarket Suppliers Association (AASA), Heavy Duty Manufacturers Association (HDMA), and Original Equipment Suppliers Association (OESA). MEMA represents more than 650 member companies with global motor vehicle parts sales exceeding $600 billion and 65 percent of North American automotive supplier sales.