News source: The strengths and shortcomings of Obama’s plan to help small businesses

Ira Davidson is director of the Small Business Development Center (SBDC) at Pace University, the Manhattan regional center of the New York State/SBDC. Davidson is available to comment on the announcement of President Barack Obama’s plan to help small businesses.

March 17, 2009

Contact: Bill Caldwell, Office of Public Information, Pace University, 212-346-1597, wcaldwell@pace.edu

NEWS SOURCE

Topic: The strengths and shortcomings of Obama’s plan to help small businesses

Ira Davidson is director of the Small Business Development Center (SBDC) at Pace University, the Manhattan regional center of the New York State/SBDC. Since its start in 1986, the expert advisors of the SBDC at Pace have worked directly with 12,987 businesses, helping them to invest $138,559,145 in the area’s economy and create or save 5,947 jobs.

Davidson is available to comment on the announcement of President Barack Obama’s plan to help small businesses.

“The Obama administration’s plan to increase the guarantee on SBA-guaranteed loans and raise the loan caps for the 7(a) and 504 loan programs should encourage banks to begin again to lend to small businesses. However, the plan went off base by proposing to buy bundles of SBA loans on the secondary market. I fail to see the impact of such a roundabout, secondary measure.

“Another shortcoming of the plan is the absence of a mechanism to aid growing high tech businesses that typically have limited tangible assets for SBA or conventional lenders to use as collateral.”

Davidson’s advice on small business issues has appeared in BusinessWeek SmallBiz, The New York Times, The Houston Chronicle, Crain’s New York Business, New York Daily News, Entrepreneur Magazine, and Inc. Magazine.

Phone 212-618-6656 (office), 917-697-0959 (cell); email idavidson@pace.edu.

The Lubin School of Business is accredited for both business and accounting by AACSB International, an elite distinction shared by fewer than 3 percent of business schools worldwide. With a tradition of practice-oriented curricula, the school has achieved national recognition for both its graduate and undergraduate programs in U.S.News & World Report and other media. Approximately 4,000 students are enrolled in Lubin’s undergraduate, graduate and professional degree programs in Downtown and Midtown New York City, and Pleasantville and White Plains in Westchester. Prominent alumni include Melvin Karmazin, CEO, Sirius Satellite Radio; James Quinn, president, Tiffany & Co.; Ivan Seidenberg, chairman and CEO, Verizon; Marie Toulantis, former-CEO, Barnes&Noble.com; and Richard Zannino, former-CEO, Dow Jones & Company. www.pace.edu/lubin.

For 103 years Pace University has produced thinking professionals by providing high quality professional education resting on a firm base of liberal learning, amid the advantages of the New York metropolitan area. A private university, Pace has campuses in New York City and Westchester County, New York, enrolling nearly 13,000 students in bachelor’s, master’s, and doctoral programs in its Lubin School of Business, Dyson College of Arts and Sciences, Lienhard School of Nursing, School of Education, School of Law, and Seidenberg School of Computer Science and Information Systems. www.pace.edu