SBA’s New Head Expected to Increase Access to Capital for Minorities

Contreras-Sweet worked with small companies as head of the California Business, Transportation and Housing Agency and as co-founder and chairman of Los Angeles-based ProAmerica bank, whose customers are small- and medium-sized companies, serving the Latino business community.

“Like thousands of other community bankers, Contreras-Sweet has dedicated her career to supporting small businesses, consumers and local economies. As a passionate champion of small businesses, she will be an excellent SBA administrator,â€ Independent Community Bankers of America President and CEO Camden R. Fine said in a statement.

Community banks account for nearly 60% of all small-business loans of less than $1 million, including SBA loans. These institutions help communities flourish by focusing on local small businesses and entrepreneurs. ICBA community bank members hold more than $1.2 trillion in assets, $1 trillion in deposits and nearly $750 billion in loans to consumers, small businesses and the agricultural community.

Small-business owners are looking to the new SBA administrator for help making their companies stronger, but the role also extends into job creation. More than 99% of the 27 million companies in the U.S. are small businesses, and they employ about half the nation’s workforce.

But Contreras-Sweet is coming to the helm of the SBA with reduced resources. The U.S. House Small Business Committee has recommended the agency’s requested $865 million budget be trimmed by $50 million.