U.S. Small Business Administration chief Kelly Loeffler toured Thomas & Skinner, an Indianapolis magnet manufacturer, with Sen. Todd Young on Thursday, pitching a major expansion of federal small business lending to support manufacturers and farmers across Indiana.
Loeffler and Young, both members of President Donald Trump’s administration and a Republican senator respectively, argued that current SBA loan limits have not kept pace with rising equipment costs. The maximum for SBA small business lending was last increased in 2010, Loeffler noted, while farm and manufacturing equipment prices have climbed significantly since then.
The pair proposed doubling loan limits for manufacturers and agricultural businesses to $20 million. The SBA currently allows borrowers to “stack” different loan types to reach $10 million, but Loeffler argued that amount falls short of what growing manufacturers need. “Let’s double the loan size for people in production like agriculture and manufacturing to get up to that $20 million because that’s really what it takes in terms of scale today,” Loeffler said.
Young, a member of the Senate Small Business and Entrepreneurship Committee, endorsed the proposal. “I think increasing the loan amounts would be rocket fuel for the economy,” he said. The senator also indicated he may soon take on a larger role shaping small business policy, saying he is “probably going to become the next chairman of the Small Business Committee, depending on how the election goes in November.”
The visit highlighted broader Trump administration efforts to support manufacturing in rural and small-town America through tax cuts, deregulation, and trade policy changes. Loeffler highlighted efforts to modify diesel exhaust fluid requirements and other regulations affecting farmers and truckers. Young pointed to the administration’s support for farmers’ right to repair their own equipment without paying manufacturers for service.
After touring Thomas & Skinner, Loeffler and Young visited the Indiana State Fair to meet with farmers and discuss agriculture policy. Young acknowledged that farmers continue to face elevated input costs, though he said the administration’s policies on productivity and risk management would help rural communities adapt. The pair also discussed how Indiana’s investments in biotechnology, semiconductor manufacturing, and drone technology could create new opportunities for farmers and manufacturers.
Thomas & Skinner, founded in 1901, manufactures cast and sintered alnico magnets, magnetic assemblies, and transformer laminations. The company is 100 percent employee-owned. Manufacturers the pair visited said they would hire more workers if they could find people with the necessary skills, Loeffler told reporters, pointing to workforce availability as one of the most common concerns she hears from small businesses nationally.
Sources
- Indiana Capital Chronicle — Loeffler and Young’s statements on loan expansion, the tour of Thomas & Skinner, and discussion of SBA lending policy
- Small Business Administration — Current SBA loan limits and stacking policy allowing $10 million in combined 7(a) and 504 financing
- Thomas & Skinner — Company background, location, and employee ownership structure
