Definition of 'small business' to change

The Small Business Administration is expanding the definition of what it means to be "small," according to an article in The Washington Post:

When the clock strikes midnight on Sunday, July 13, thousands of relatively large companies will — poof — suddenly become small businesses.

The Small Business Administration has announced plans to update the size standards used to determine which firms are eligible for the federal government’s small-business lending and contracting programs. Coming on the heels of series of tweaks to individual industries over the past few years, this will be the first broad update based on inflation the department has made since 2008.

Under the new caps, which take effect July 14, the agency estimates that roughly 8,500 additional companies will be considered a small business by the federal government.

To read the full article and what implications this may have, visit The Washington Post.