(BLACK PR WIRE/FAMU-TALLAHASSEE) – The United States Treasury Department created a small business fund of $30 billion, in an effort to have affordable loans and tax incentives for small businesses. President Barack Obama signed the H.R. 5297 Small Business Jobs and Credit Act into law on September 27, 2010.

According to the Small Business Lending Fund Act of 2010, it will create 500,000 new jobs, give small businesses $12 billion in tax cuts and incentives, and set aside leverages of $300 billion for private sector lending for small businesses without adding a penny to the national deficit. “Small businesses are the engine of our economy,” said House Speaker Congresswoman Nancy Pelosi. “Small businesses created two-thirds of the new jobs over the last 15 years.”

According to the Small Business Lending Fund Act of 2010, there are several requirements that need to be met before a person is eligible for the small business loans or tax incentives. For example, assets of the business must be equal to or less than $1 billion; no company, credit union or bank can own the institution. A blueprint of the business plan must be provided of the short and long term goals of the business, and the small business must consult with a federal banking agency to verify their eligibility of government assistance, according to the Small Business Lending Fund Act of 2010.

“It has been a little over three weeks since the bill has been passed and signed,” said business owner Jerome Harris of Show Time Costumes. “I am doing my research about the bill and I am more highly interested in the tax incentives than the loans.” The Small Business Lending Fund Act also supports young entrepreneurs who have a desire to own a business.

“Starting a new business is scary and expensive, but worthwhile when a person can get paid for what they love to do,” said business owner Jason Smith of COPA Living Inc., a 23-year-old graphic designs major and graduating senior of Florida A&M University. “My business is a t-shirt company. I hope I can write off my expenses on my taxes because I spend a lot of my money on ink and shirts.”