Investing in All of America Act of 2025
Summary
What This Bill Does
The Investing in All of America Act changes the Small Business Investment Company program's leverage rules. It narrows what counts as private capital by excluding federal, state, and local government funds for SBA leverage approval, lowers the general leverage ratio from 300 percent to 200 percent of private capital, and sets dollar caps of $250 million for SBICs making quarterly or semiannual interest payments and $175 million for other SBICs.
Who Benefits and How
SBICs that invest in low-income geographic areas, rural areas, covered technology categories, or small manufacturers benefit because those investments can be excluded from outstanding-leverage calculations, up to the lesser of 50 percent of private capital or $125 million. Commonly controlled SBICs that make quarterly or semiannual interest payments benefit from a higher group cap of $475 million, and college or university foundations, endowments, and trusts receive clearer treatment as eligible private-capital sources.
Who Bears the Burden and How
SBICs relying on government-provided funds bear a burden because those funds generally cannot be counted as private capital when seeking SBA leverage approval. SBICs with business models built around the older 300 percent leverage ratio may face tighter leverage constraints, and the Small Business Administration must apply the new caps, exclusions, private-capital definitions, and prospective-only rule for qualifying investments.
Key Provisions
- Modifies SBIC private-capital rules by excluding most government-provided funds from leverage approval calculations.
- Limits the general leverage ratio from 300 percent to 200 percent of private capital.
- Authorizes targeted exclusions from outstanding leverage for investments in low-income areas, rural areas, covered technologies, and small manufacturers.
- Limits the targeted exclusion to the lesser of 50 percent of private capital or $125 million and applies it only to post-enactment investments.
Evidence Chain:
This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers with clause-level evidence links.
At a Glance
What This Bill Does
Reworks Small Business Investment Company leverage rules by changing private-capital treatment, lowering the leverage ratio from 300 percent to 200 percent, setting higher dollar caps for some SBIC leverage, and allowing targeted investments in underserved or strategic small businesses to be excluded from leverage calculations.
Key Policy Areas
Small Business, Finance, Manufacturing, Technology, Rural Development
Primary Purpose
Reworks Small Business Investment Company leverage rules by changing private-capital treatment, lowering the leverage ratio from 300 percent to 200 percent, setting higher dollar caps for some SBIC leverage, and allowing targeted investments in underserved or strategic small businesses to be excluded from leverage calculations.
Policy Domains
Small Business Investment Company leverage reform
Identified Gains
- Small Business Administration
- Small manufacturers
- College and university endowments
- Rural small businesses
Identified Costs
- Small Business Administration leverage-approval staff
- SBICs using government capital
- Federal taxpayers
Sponsors
Legislative Progress
Signed into LawBecame Public Law No: 119-92.
Signed by President.
Presented to President.
Message on Senate action sent to the House.
Passed Senate without amendment by Unanimous Consent. (consideration: CR S1789-1790)
Passed/agreed to in Senate: Passed Senate without amendment by Unanimous …
Senate Committee on Small Business and Entrepreneurship discharged by Unanimous …
Received; read twice and referred to the Committee on Small …
Received in the Senate and Read twice and referred to …
Passed House (inferred from eh version)
Stakeholder Effects
cui bono?How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.
Accrual debenture SBICs excluded from CPI adjustments, SBICs constrained by the 200 percent leverage ratio, SBICs eligible for CPI-adjusted leverage caps
Positive-direction: SBICs eligible for CPI-adjusted leverage caps, SBICs investing in covered technology small businesses, SBICs investing in low-income small businesses, SBICs investing in rural small businesses, SBICs investing in small manufacturers, SBICs making quarterly or semiannual interest payments
Negative-direction: Accrual debenture SBICs excluded from CPI adjustments, SBICs constrained by the 200 percent leverage ratio, SBICs relying on government-provided capital
Low-income small businesses seeking SBIC financing, Rural small businesses seeking SBIC financing
College endowment funds investing in SBICs, University foundation funds investing in SBICs
Covered technology small businesses seeking SBIC financing
Small Business Administration SBIC program
Bill Structure & Actor Mappings
Who is "The Secretary" in each section?
- "the_administrator"
- → Administrator of the Small Business Administration
- "licensed_under_section_301c"
- → Small Business Investment Companies licensed under section 301(c) of the Small Business Investment Act
Key Definitions
Terms defined in this bill
The SBIC capital base used in leverage approval; the bill excludes most direct or indirect federal, state, and local government funds, while allowing specified pension-plan and college or university foundation, endowment, or trust funds.
A manufacturer defined by reference to section 501(e)(6) of the Small Business Investment Act and eligible for the bill's targeted leverage exclusion.
A technology category defined by reference to section 149(e) of title 10 and used to determine whether an SBIC investment can be excluded from outstanding-leverage calculations.
An investment company licensed under section 301(c) of the Small Business Investment Act of 1958 that can receive SBA leverage for qualifying small-business investments.
We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.
Learn more about our methodology