Speaker 1: Most of the money went to very large businesses. Yeah,
that's true. I think the Eagles got an SBA loan,
Kanye West got an SBA loan. But the problem the
PPP wasn't that it was going to children. It was
going to big businesses. That was the main problem the
PPP and legitimate's fall businesses, you know, couldn't get any money.
But anyway, let's just say this. If you want to
talk about fraud government, let's talk about the Pentagon. So
it was reported it was reported the day before an
element by Rumsfeld that they couldn't track two point three
trillion in acquisitions. Right now, if you go to your
computer and type in thirty five trillion missing the Pentagon,
you see stories pop up. So you know, if people
want to talk about fraud, and god, let's talk about fraud.
Speaker 2: You are listening to Carrie Let's's Financial Survival Network, where
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Speaker 3: And welcome. You are listening to and watching the Financial
Survival Network. I'm your host, Carrie Lutz. Well, here we are.
It's the middle of March. Things are happening in Washington,
so quickly. Lloyd Chapman is back with US American Small
Business League ABSL dot com. And if you got a
question from Lloyd myself, shoot me an email Klatcarrie Lutz
dot com. So, Lloyd, we spoke last time. We didn't
know what Trump was going to do with the SBA.
Now we see that there's a new secretary. I can't
remember her name off the top of my head. I
can see it, but I can't say it. But it'll
come to me. Yeah, but in any event, Kelly Kelly Loughren. Yes, yeah, yeah,
she was a senator, if I'm not mistaken, and yeah yeah,
so seems like a good lady. She ordered all the
employees back to the office because none of them were
showing up. I remember seeing pictures of her on TV
saying where is everybody? And this is giant office in
DC and there's not a soul there except maybe some
guy emptying the trash. So what is the latest? What
do we need to know here?
Speaker 1: Well, let's just start off with some basic data. Ninety
nine point nine percent of all US firms and small businesses.
I've never met anyone that knew that. By the way,
ninety eight percent of all companies of America have one
hundred employees or less, eighty seven percent have twenty and less,
and the average A company has ten employees. And the
only agency in our massive government to assist the thirty
four million small businesses where most Americans work as a
Small Businesministration. But today the ESP has the lowest budget
staff in history, and there's been pressure to close you
spay by the way for like the last forty years,
and they'll they'll talk about it, streamlining the SBA. We
need to make government more efficient. I use Perplexity, which
is AI software package, and I'm going into perplexity day.
I said, how many years could the SBA be funding
with the amount of money that's missing for the Pentagon.
It came back, I said, two thousand, six hundred years forever.
Speaker 3: What's their budget. That's the SBA's budget.
Speaker 1: Uh, it's around eight hundred billion million.
Speaker 3: The Pentagon's eight hundred billion, SBA's eight hundred million.
Speaker 1: YEAHBA, SBA is about eight hundred million dollars, and the
Pentagon is that it's eight hundred billion fifty but it's
actually closer, probably one point two trillion when you include everything.
So but yeah, here's my concern. When when Trump took
off with the first time, the SB had the lowest
budget and staff in forty years, and he cut it
even further. And that's that's that's a pretty strong statement
about how you feel about small businesses. Right, and now
in his second term he's laid off a higher percentage
of people at the SPA than any other agency. Another
strong statement of how you feel about small businesses. But
you know, let's just say this, You and I can
figure this out carry we want to. Let's just say
we want we want to make America great again. Right,
that's what we want to do. Okay, let's see if
we can figure this out. So America's ninety nine point
nine percent small businesses and they create ninety percent of
all new jobs. Now, what do we need to do
to create some jobs?
Speaker 3: Huh?
Speaker 1: How about some small business programs at the SPA. Well,
how that'd be let's try that.
Speaker 3: Right.
Speaker 1: Another thing people know is the Small Business Act that
the main problem of the SPA that's the largest economics
tumors program in history for the American people.
Speaker 3: No, nothing, Look, it's like every other agency. There's huge
amounts of corruption there. And we saw from the COVID
loans that they made three hundred and fifty million dollars
worth of SBA loans to kids eleven years and younger.
So we got to do a better job here of
of how this.
Speaker 1: Is hard to believe, by the way, I find that
hard to believe. Quite frankly.
Speaker 3: It's the US guy. And there were loans, emergency loans
made with the hastily thrown together program that really was
an emergency. But it's just an example of government waste. Right.
Speaker 1: Well, yeah, for example, you know, the the amount of
money in question to the SBA is pennies compared to
the Pentagon. So let's just say this. So if we're
gonna if we're going to look at government fraud, where
should we look at the SBA are the Pentagon? So
the SBA has you know, I'll say, I think they
talked about three hundred and twelve million in loans that
were questionable. By the way, I was the first part
on the planet to sue the SBA to get the
list of who got PPP loans, I can send myself
very knowledgeble about that. I would find extremely difficult to
believe that showan got PPP loans.
Speaker 3: I believe it. I believe.
Speaker 1: Now what comes to the one or two exact little
I did I did? I've got to hear in my
office somewhere. Most of the money went to very large businesses. Yeah,
that's that's true. I think the Eagles got an SBA loan,
Kanye West got an SBA loan. But the problem the
PPP wasn't that it was going to children. It was
going to big businesses. That was the main problem the
PPP and legitimate's fall businesses, you know, couldn't couldn't get
any money. But anyway, let's just say this. If you
want to talk about fraud government, let's talk about the Pentagon.
So it was reported, it was reported the day before
now eleven by Rumsfeld that they couldn't track two point
three trillion in acquisitions. Right now, if you go to
your computer and type in thirty five trillion missing the Pentagon,
you see stories pop up. So, you know, if people
want to talk about fraud and gut, let's talk about
fraud let's start with the Pentagon. More money's missing at
the Pentagon than all across the government combined, and yet
Dodge has an ordered the Pentagon. So I'm they're in
the price estimate, right, they're in the process. But yeah,
let's say you've got a friend and you want to
and he's not handling his money properly, and he's spending
one hundred thousand dollars a week on cocaine at fifty
cents a week on bubblegum. Where should we start first
with this guy with the bubblegum, with the cocaine, right,
So yeah, if we want to talk about government for
let's talk about it. But the SBA is nothing. It's
just dirty pennies you wouldn't pick up compared to you.
Speaker 3: Know, right, But that doesn't mean that we shouldn't route
out corruption wherever it's found in the government.
Speaker 1: But again, doesn't it make sense to go after Let's
go to the biggest fraud.
Speaker 3: Well you have to do everything.
Speaker 1: I think the amount of money in the SBA loans
is less than a tenth of a percent of what's
missing at the Pentagon.
Speaker 3: Oh yeah, yeah, yeah, no mess, no question about it.
But could be low hanging fruit. You got to go
after everything we agree out, So.
Speaker 1: I'm not crushing that. And by the way, to me,
it just makes sense. You know, if we're trying to
really have an impact on making you know, the government
more efficient, I would go after the biggest thing, not
the smaller stuff.
Speaker 3: Right.
Speaker 1: But anyway, that's you know, that's even here nor there.
But what I think people need to realize is Trump
says we want to make America great again. In fact,
I put out a post last night on X about this.
People can follow me on X what was again make
America great again? So when was again? No one's mentioned that.
So can we agree Kerrie that America would be great
again if there was no deficit?
Speaker 3: Can we agree on that? Yeah? Well sure, right?
Speaker 1: Can we agree that America will be great again? The
economy was booming and.
Speaker 3: They're getting rid of the regulation which they're doing just
loan as others.
Speaker 1: The last time America, the last time America didn't have
a death sit in communist booming was a Clinton administration.
That's just a fact. You don't get to have an
opinion about that. That's a fact, right, Yeah. That was
one of the strongest economies in modern history, and Clinton
was super pro small business. So again, you don't have
to be a you know, a genus to feel all this.
Speaker 3: Stuff that great. But look, but look, what is better
for small business getting loans for them or getting the
government the hell out of the way, Because like in
places like New York and California, they make it completely
impossible for you, And even in places like Florida where
I am now and in less more or less a
fair state, shall we say, still difficult. So what will
be better getting rid of the regulation or giving people
more money?
Speaker 1: The best thing would be to comply with a Small
Business Actor of nineteen fifty three and the largest economics
Timbers program in history of America and give the middle
class but twenty three percent of all contracts that the
law mandates. That'd be the first thing. And then if
you look at regulations, I'll tell you something. You know,
I've heard this for many years. There are regulations that
I think are unnecessary. But generally speaking, when people talk
about regulations about small businesses, they're really talking about regulations
that big businesses you don't want to get rid of. Right,
But yeah, anyway, it would be much better, I get it.
If we want to make America great a get If
that's your goal, you got to realize number one, America's
nine to nine point numbercent small businesses. Sure, of course,
the only agency to help them is THISBA number three,
the largest economist, temuchgram for the American people is a
small business act. Let's get that implemented. And that hasn't
been implemented.
Speaker 3: By the way.
Speaker 1: If you go to your computer and google Fortune fire
refirms getting small business contracts, there's a multitude of stories.
I actually prompted the first fatal investigation of that, I
think in two thousand and two, and I found thousands
of the largest companies in the world getting federal small
business contracts. I proper the congressional investigation of Associated Press
for astor about it in every newspaper in the country.
And it's still going on. So it's twenty twenty five.
And in twenty twenty two I testified for Congress that
eighteen and T was getting small business contracts right, and
it's still going on. So again, if we want to
make Americle great again, you got to realize America's small businesses.
The SPA is the only agency to help them.
Speaker 3: Yeah, I agree with you. I've always been in a
small business myself, but I've always avoided the government. You know,
what are the most what are the most dangerous words
in the English language is regu Yeah I'm near to hell?
Well yeah, yeah, like break out the vasoline?
Speaker 1: Right, yeah, I'll tell you something. Here's another thing that
people don't understand. The Small Business Act is an economics
Stemmers program. And let's just say, if you're a school
teacher of Miami, are you working disworld in Orlando? You
should be concerned about the SVA having the lowest budget
in history because when that money goes into middle class economy,
it creates, you know, prosperity and there's more money for everybody.
But people get confused, think, well, you know, I've got
a barbershop, you know, in Fort Lauderdale. Why do I
care about the SBA and government loans. It's the largest
economics timbers program in history, but middle class nobody knows that.
I'll tell you something fascinating. I'm surprised that no one
knows about the Census Scureau data. It's quite surprising. Here's
a no statistic, by the way, that nobody knows women
are half the population. They owned forty two percent business
in America And every year of your life, Carrie, companies
on my men have gotten over ninety five percent of
all pedal contracts. Nobody knows that. I've never heard a
women's group on television complaining about that.
Speaker 3: Right, I'm gonna throw a number at you. Just look
this up. The SBA seven a loan program, right, you
know about that loan? Do you know what the loan
default rate was for twenty twenty four? No, but i'
but it's pretty high. It's actually extremely low, like lower
really credit card default rate three point sixty nine percent.
Speaker 1: That was a default rate on SBU loans.
Speaker 3: Yeah, for twenty twenty four.
Speaker 1: Well, let's be you know what. That's a thank you, Carrie.
I did not know that statistic. That's fantastic, right, that
doesn't bet up.
Speaker 3: Lower down the credit learned default rate?
Speaker 1: Yep, Well again the sp doesn't you know? Uh, loan
money the banks do. So you're you're getting a loan
from your.
Speaker 3: Bank, you can't count play.
Speaker 1: Banks are very careful. You got to have collateral this
kind of stuff. You're so, I guess that doesn't surprise me.
Speaker 3: But let me maybe have some more numbers. All right,
go ahead, love this better. You know what the rate
was in twenty twenty No, one point two percent with
a charge off rate of point one five wow, twenty
twenty two? Two percent, all right, twenty twenty three for
acquisition loans of all sizes one point oh four percent.
That's the default, right, Yeah, that was the default rate,
and that increased.
Speaker 1: Now, what do you think now about the SPA lending program?
Speaker 3: Tore it increased by Okay, no, they've got to twenty
twenty two. The small business default rate increased from two
percent in December twenty two to three percent and twenty three,
which is below the historical rate of six point four
percent in October nine. Don't forget o nine we were
having the worst recession. Right, where are you getting that information?
I'd love to see that off of Google and I
will shoot it off to you. So point the point
is they've you know, they're they're underwriting rates pretty good.
In if you're buying a business and you get an
acquisition loan, the default rates are like less than half.
So that shocking. So government doesn't take much risk and
they get a huge benefit because presumably the companies that
are succeeding are paying taxes, they're hiring employees who are
paying taxes, and you have the multiplier effect, right.
Speaker 1: Absolutely, you know what, I like the word ultiplier fick.
That is very applicable when you think about the Small
Business Act and giving twenty three percent of all federal
contracts with small businesses.
Speaker 3: Yeah.
Speaker 1: I was talking to some of the other day and
they pull up a statistic that says for every dollar
of the SBA budget, the American people get seventeen hundred dollars
of benefits, right, and that's you know, that makes sense.
But again, the SDA should be one of the largest
agency to government who represents ninety nine point nine percent
of all the business in America. Yeah, but it's I'll
tell you something. I've been predicting on social media that
they'll try to close the SBA within the next I'll
say sixty days.
Speaker 3: Really.
Speaker 1: Yeah, Well, you know, I've been in I've been in
every office in Congress. I've spent years lobbing Congress. I've
met most of the presidents of my lifetime, and I've
been suing the government for thirty five years, what over
one hundred and ten legal battles against the government and
Washington is run by Fortune five nred firms, not small.
Let me ask you a question. Here's a good question.
It's a rhetorical question. What's the strongest lobby group for
small businesses in America? There is it one, right, it's
probably me.
Speaker 3: You're the one. I go to me on Lloyd. Yeah,
it's all up to you. The fail of the small
business in America is resting upon resting in your hands.
Speaker 1: I put a challenge out on the X a few
months ago. I said, I've got a thousand dollars reward
for the first person can find anybody in America on
television more than me objecting to the governor getting small
business contracts to Fortune five of the firms. Nobody could
do it right. About ten years ago, I hired a
guy named Daniel Swerdling, and I want to do some
research about my media footprint America. And I said, I
think my media footprint is ten times bigger than anyone else.
He came back and he said, your Meatia footprint is
a thousands bigger than everyone combined that is involved in
you know, small business autocacy. Write But it's yeah, it's
shouldn't be the way there should be.
Speaker 3: There should be one hundred guys like me. Y, but uh,
you're a small business evangelical, right.
Speaker 1: Yeah, you know there should be one hundred guys like me.
Speaker 3: Uh.
Speaker 1: The well, I'll tell you something funny. My life changed
about twenty years ago when some article came out and
said I was a modern day Caesar Shaw, best for
small businesses. Oh, the government didn't like the Goud says, no, no,
that's not going to have that's no.
Speaker 3: I damn, you don't like him. He's young, y.
Speaker 1: Yeah, they didn't like that. So I used to People
used to write so many stories about me without even
talking to me. So as I was having breakfast, I
would google my name and find the new stories and
put on my website.
Speaker 3: Right.
Speaker 1: So on Monday, you know, I google my name and
there was about I would say, fifty pages on Google
of stories about about me. I don't when see I
googled this is a true story. On Wednesday, I googled
my name and I was completely gone off the internet,
gone like I had.
Speaker 3: Never exercized, you know what Celtics.
Speaker 1: And it turned out that Google did it.
Speaker 3: Of course they did. Yeah.
Speaker 1: Well at that time, I was, uh, no matter who
the president is.
Speaker 3: By the way.
Speaker 1: I'm I'm I'm not happy with him quite frankly. You know,
no matter who the president is, Fortune and five one
firms get small business contracts espa. He's got a teeny
tiny budget.
Speaker 3: You know.
Speaker 1: So I've sued every president I guess since Reagan. Right,
But and I was on TV talking about Obama. I
went on the Neil Cavudo Show to call Obama con
man a liar. And that's what got me. Uh this
is this is back before the word canceled was in
the culture. I got canceled.
Speaker 3: Hey, I would have thought it like that would make
you popular. He should have been proud of that, right
you know what?
Speaker 1: Uh Well, it turns out that the guy that was
president of the company that owned Google was personal friends
with Obama. I think his name was Eric Shields, and
as a favorite to Obama, he you know, wiped me
off the planet. I got letters from every I was
a popular blogger on the Huffington Post. I used to
talk to her to Huffington you know where she was
in her kitchen. You know, I got I got canceled
across all media to some degree. It's it's kind of
still present today. But doesn't want anybody organizing small businesses,
that would be their worst nightmare.
Speaker 3: Well, that would be like organizing, uh organizing people to
cross party lines and two to really uh unite. They
don't want it. And if we could unite from our
economic interest, then we certainly could unite otherwise. Hey, So
I don't know Trump, though the Trump Organization deals with
thousands and thousands of small businesses. It's not like Trump
is not educated about the benefits of small business.
Speaker 1: Well again, I'm I've worked on six presidential campaigns. When
I was a child, I remember going to elementary school with
a penss I like ike. My father was Republican, right.
Reagan tried to close the SBA. Yeah, on my website,
I've got the ABC News story from nineteen eighty five.
So David Stockman and so Reagan tried to close the SBA,
and when he couldn't close it, he changed a small
business side standard from one hundred to five hundred. Think
about you know, we're boxing and you've got the middleweight
weight is you know, one hundred and seventy and you
raise that to you know, three hundred. Right, So that's
what they did. They in changing the small business start
from one hundred and five hundred. You forced the average
American company, the ten employees, to compete with companies with
up the five employees.
Speaker 3: You can't do that.
Speaker 1: It's you can't really compete, right, So the purpose of
the Small Business Act just kind of break small businesses down,
kind of like any other sport, you know, and have
small business compete to get small businesses. But so Reagan
tried to close it. Borsch tried to close it. That's
well documented. I oppose that, right, and then actually Obama
tried to close it. That's also well doc You can
you can you can google Reagan closed the SBA. Bush
closed the SBA, or BABA closed the SBA, and you'll
you'll see all the stories. I'm in all of them.
And then again when Trump took office, you know, the
SBA was the lowest budget in forty years. He cut
it again. But I've got a friend, I'm not sure
if he still has. His name is Jerry Glover. He's
a huge small business advocate. Every small America owed Jerry
Glover if they had a gratitude, and he was a
friend of Bill here with Clinton. Clinton appointed him behead
of the sb Office of Accusty and Jerry said, one
day Bill called him up and said, you know, come
in the over office and they said, Jerry, I'm under
tremendous pressure to close the SBA. And Jerry said, well,
mister President, if you want a stronger car to me,
you know, ninety nine percent of oicems of small bus
you have to have small business programs. So Clinton didn't
close it. He you know, was super pro small business
and expanded the SBA. And again, if you look back
over your lifetime Carrie and mine, I think the stronger
economy was a Clint administration, right, But I think there
was a lot of factors. But again it's just it's logical.
It's like two and two is four, right, ninety nine
nine percent of all firms of small businesses, they create
ninety five percent of net new jobs. If you have
a stronger commedy, you have to have strong small business programs.
And I'm not hopeful about the future of the SBA
in this current administration.
Speaker 3: Yeah. Well, unfortunately, you know, uh country is desperate in
dire straits and the sometimes the baby is going to
get tossed out with the bathwater. Right.
Speaker 1: Yeah, you know what, I'll tell you something I've been
predicting on social media for about six weeks that we're
going to have a tremendous economic turndown, and then I
guess it was maybe two weeks ago that started coming
out in the news. So I was at Las Vegas
when I saw on the news that the stark market
had gone down and they're talking about recession. But I
predicted that six weeks ago. We're thirty six trullion in debt.
Most people don't know that the interest on the debt
goes up a trillion dollars every one hundred days. Can
you imagine that? That's just sort of incomprehensible, right.
Speaker 3: So we got to do something here.
Speaker 1: Well, you know, again, I'm not a Democratic Republican. I'm
just a normal person with a logical mind. We're thirty
six trueing in debt. The govern Accountability Office put a
report in twenty twenty three said thirty four percent of
the largest most profitable companies in America pay no income tax.
You can google Fortune five refirms pay no income tax.
There's a number of Fortune five refirms that pay little
to no income tax. And Trump's talking about more tax cuts.
I don't think we need tax cuts. I think we
need we need everyone paying their fare share.
Speaker 3: Does that make sense to you, Yeah, well, who pays
corporate taxes? You know that we could get into a
debate about that. But point is that a lot of
the reason why we're in this mess now is because
of government policies in the first place, not just related
to the SBA, but everything else. So if we can
make the government more efficient, less corrupt, then hopefully we
can get out of this mess. I've just written an article,
by the way, Lloyd, that the whole purpose of the
Bitcoin National Reserve is to pump bitcoin up to ten
million dollars a coin and then well and then turn
around and pay off the national debt with bitcoin. And
it's kind of a brilliant strategy when you get down
to it. It's in Financial Survival Network dot com right now, Lloyd,
tell us again where we find you and how we
connect with you.
Speaker 1: Asbl dot com and follow me on. I put up
videos almost every day, and you can google well American
Small Business League, Lloyd Chopping dot com and uh yeah,
follow me on next. I put up interesting videos pretty
much every day.
Speaker 3: All right, Hey, appreciate that. Appreciate you coming on you
a question for Lloyd myself, shoot me an email. Klatcarrieluts
dot com. Link to his site is in the show
notes to this interview on Financial Survival Network dot com.
And when you're there, we just asked that you subscribe,
like over seventy thousand nearly seventy five thousand other FSN
members have and Lott, we'll talk to you again real soon.
Thanks for coming on.
Speaker 1: Thank you, Kerri. Good to talk to you, buddy.
Speaker 2: Thanks for listening to Carrie Letz's Financial Survival Network. Your
solution to today's trying times. For the latest, go to
Financial Survivalnetwork dot com. Financial Survival Network now more than
ever