House Passes Made in America Manufacturing Finance Act

In a significant victory for American manufacturing, the U.S. House of Representatives unanimously passed the Made in America Manufacturing Finance Act (H.R. 3174) in December 2025. This bipartisan legislation doubles the maximum SBA loan amount available to small manufacturers from $5 million to $10 million—a change that could transform how domestic manufacturers access growth capital.

For manufacturers already familiar with SBA financing through programs like MARC (Manufacturers' Access to Revolving Credit), this legislation represents a major expansion of available capital. For those who've been limited by current loan caps, the timing couldn't be better as reshoring initiatives and domestic production demands continue to accelerate.

What the Made in America Manufacturing Finance Act Does

The legislation, sponsored by Congressman Roger Williams (R-TX), Chairman of the House Committee on Small Business, specifically targets small manufacturers by increasing lending capacity across multiple SBA programs. Here's what changes if the bill becomes law:

SBA 7(a) Loan Changes for Manufacturers

• Maximum gross loan amount increases to over $10 million for small manufacturers
• SBA-guaranteed portion can reach up to $7.5 million (up from current limits)
• Working capital and export financing caps increase to $9 million for qualifying manufacturers
• Export loan guarantees specifically increase from $5 million to $10 million for small manufacturers

SBA 504 Loan Changes

• Maximum CDC debenture for small manufacturers increases from $5.5 million to $10 million
• Enables larger real estate and equipment purchases with favorable fixed-rate terms
• Maintains existing 504 structure: bank provides ~50%, CDC provides up to 40%, borrower contributes 10%+

These changes don't replace existing programs—they enhance them specifically for manufacturers. The current MARC program's features, including relaxed 1:1 debt service coverage and manufacturing-specific underwriting, would remain available with access to higher loan amounts.

Who Qualifies as a 'Small Manufacturer' Under This Legislation?

The bill creates a specific statutory definition of 'small manufacturer' that will be added to the Small Business Act. To qualify for the enhanced loan limits, a business must meet two key criteria:

• Primary business activity must fall under NAICS sectors 31, 32, or 33 (all manufacturing codes)
• All production facilities must be located in the United States

This definition encompasses 98% of U.S. manufacturers according to SBA data. Whether you operate in food and beverage production, metal fabrication, plastics manufacturing, electronics assembly, firearms manufacturing, or any other NAICS 31-33 sector—with domestic production facilities—you would qualify for the enhanced limits.

Not sure if your NAICS code qualifies? Our detailed guide on NAICS codes 31-33 and MARC eligibility covers every qualifying sector and how to verify your classification.

Why This Legislation Matters Now

SBA Administrator Kelly Loeffler emphasized the timing in her statement following the House vote: 'Manufacturers need more capital to meet rising demand in an economy built by Americans, for Americans.' The legislation aligns with broader efforts to strengthen domestic manufacturing capacity.

Chairman Roger Williams echoed this sentiment: 'Small manufacturers are the backbone of our industrial base, and their success fuels our nation.'

The current $5 million cap, while substantial, has become a constraint for manufacturers pursuing larger expansion projects. A $5 million working capital facility may fund operations adequately, but comprehensive projects involving new facilities, major equipment, and operational capital often require more. Under current rules, manufacturers must piece together multiple financing sources—a complex and sometimes limiting process.

Our capital stacking guide explains how manufacturers currently combine MARC with 7(a), 504, and USDA B&I programs to access larger amounts—but the new legislation would simplify access to $10 million+ through enhanced individual programs.

Current Status and What Happens Next

The Made in America Manufacturing Finance Act has passed the House with unanimous bipartisan support—a strong indicator of the legislation's broad appeal. A companion bill, S. 1555, has been introduced in the Senate by Senators Joni Ernst (R-IA) and Chris Coons (D-DE) and has been referred to the Senate Committee on Small Business and Entrepreneurship.

Key milestones remaining before the law takes effect:

• Senate committee consideration and potential hearings
• Senate floor vote (if committee advances the bill)
• Reconciliation of any differences between House and Senate versions
• Presidential signature
• SBA rulemaking to implement the new limits (typically takes several months after signing)

Given the unanimous House passage and bipartisan Senate sponsorship, prospects for eventual enactment appear favorable. However, the timeline remains uncertain—manufacturers should continue planning with current loan limits while monitoring legislative progress.

The SBA's Broader Made in America Manufacturing Initiative

The legislation is part of a larger SBA focus on manufacturing. Administrator Loeffler's Made in America Manufacturing Initiative includes several components:

The MARC Loan Program

The 7(a) Manufacturers' Access to Revolving Credit program—SBA's first loan program dedicated specifically to small manufacturers—launched in 2024. MARC provides up to $5 million in working capital with manufacturer-friendly terms including 10-year term loans, relaxed 1:1 debt service coverage requirements, and the ability to layer with other SBA programs. Our comprehensive MARC program guide covers everything you need to know about current eligibility and terms.

Fee Waivers for Manufacturers

For Fiscal Year 2026, SBA has announced fee waivers for manufacturers in NAICS codes 31-33. This can represent significant savings—for loans over $1 million, the standard upfront guaranty fee is typically 3.5% of the guaranteed portion. Waiving this fee on a $3 million loan could save over $75,000.

Make Onshoring Great Again Portal

The SBA has launched a new portal to help businesses identify domestic producers, supporting reshoring efforts and supply chain resilience. This resource connects manufacturers with potential customers seeking U.S.-based suppliers.

What Manufacturers Should Do Now

While the $10 million limits aren't yet available, manufacturers should be preparing:

1. Understand Current Options

Don't wait for legislation that may take months to implement. Current MARC loans provide up to $5 million in working capital with exceptional terms. Our working capital strategies guide for 2025 compares all available options and can help you identify the right approach for your current needs.

2. Plan for Larger Projects

If you're planning expansion that would benefit from larger loan limits, start the groundwork now. Gather financial documentation, strengthen your balance sheet, and develop detailed business plans. When enhanced limits become available, prepared manufacturers will be first in line.

3. Explore Capital Stacking

Even under current limits, strategic combination of programs can unlock $10 million or more. MARC + 504 + standard 7(a) layering, potentially supplemented by USDA B&I for rural manufacturers, provides substantial financing capacity today.

4. Take Advantage of Fee Waivers

The FY2026 fee waivers for manufacturers represent immediate savings. If you're considering SBA financing, timing your application to benefit from these waivers makes financial sense.

The Bottom Line

The Made in America Manufacturing Finance Act represents a significant commitment to expanding capital access for domestic manufacturers. The unanimous House passage signals strong bipartisan support for American manufacturing—a rare point of agreement in today's political environment.

For manufacturers, the message is clear: now is the time to understand your financing options and position for growth. Whether through current MARC limits, capital stacking strategies, or the enhanced limits coming with this legislation, substantial capital is available for manufacturers ready to expand.

At Precision Growth Capital, we specialize exclusively in SBA financing for manufacturers. We're tracking this legislation closely and helping manufacturers prepare for the opportunities ahead. Our consultation is free, and we operate on a no-success, no-fee basis.