On June 6, 2025, the U.S. House of Representatives passed a bill called the “American Entrepreneurs First Act of 2025”.
This bill, also known as H.R. 2966, is designed to make sure that only U.S. citizens, nationals, or lawful permanent residents can get certain small business loans from the federal government.
Basically, if you want to get a loan backed by the Small Business Administration (SBA), you or your business partners must be in the country legally.
That sounds pretty simple and fair to most folks. After all, these loans are backed by taxpayer dollars.
Shouldn’t that money be used to help legal American businesses?
Apparently, not everyone agrees.
JUST IN: 190 House Democrats voted AGAINST a bill that would prevent non-U.S. citizens from receiving taxpayer-funded business loans.
Democrats are America LAST pic.twitter.com/Pd1brngc4T
— Libs of TikTok (@libsoftiktok) June 6, 2025
Democrats like Rep. Nydia Velázquez argue that current rules already stop undocumented immigrants from getting these loans. They point to a 2023 government report that found only 0.1% of SBA loans went to non-citizens.
They argue that existing rules already largely bar undocumented immigrants—and some cite estimates suggesting the number of non‑citizen recipients is negligible.
So why pass it?
Some say it’s more about politics than policy. It sends a message.
This bill is also tied to a bigger push from President Trump and Republicans in Congress.
Back in May, they passed a major package of conservative laws called the “One Big Beautiful Bill Act.”
That huge bill included tax cuts, energy projects, and border security measures. H.R. 2966 is one of the smaller parts of that same movement.
One reason this is all moving quickly is because Republicans are using a tool called “budget reconciliation.” It lets them pass bills with a simple majority and skip the usual delays.
Critics say that’s not fair and hurts honest debate, while supporters say it’s necessary to get things done.
Some folks are worried this new rule could hurt legal immigrants who own businesses. They fear that confusing paperwork or unfair rules could block honest people from getting the help they need.
Still, the heart of the bill is this: American taxpayer money should help American businesses. Even if only a few loans ever went to non-citizens, the people in charge want to make sure that number is zero.
The bill now heads to the Senate, where it will likely face more debate.
In the end, this bill is about priorities. It asks a simple question: when it comes to helping small businesses, who should come first?
For the lawmakers who voted yes, the answer is clear: legal American citizens.
This article was written with the assistance of AI. Please verify information and consult additional sources as needed.
