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Title 15, Commerce and TradeRelease 119-110

§6905 Allocation of Assistance; Subgrants

Title 15 › CHAPTER 95 — MICROENTERPRISE TECHNICAL ASSISTANCE AND CAPACITY BUILDING PROGRAM › § 6905

Last updated Sep 22, 2026|Official source

Summary

The Administrator must divide the program money so at least 75% pays for the activities listed in section 6903(1) and at least 15% pays for the activities listed in section 6903(2). No single person may get more than 10% of the total funds in one fiscal year. At least 50% of the grants must help very low-income people, including those on Indian reservations. Qualified organizations may give subgrants to small and new microenterprise groups under rules the Administrator sets. They may use no more than 7.5% of their funds for administering those subgrants. Grant winners must include large and small microenterprise groups serving urban, rural, and tribal communities and diverse populations. Organizations in the SBA program under section 636(m) must not get special preference.

Full Legal Text

Title 15, §6905

Commerce and Trade, Source: USLM XML via OLRC

(a)Allocation of assistance
(1)In general
The Administrator shall allocate assistance from the Administration under this chapter to ensure that—
(A)activities described in section 6903(1) of this title are funded using not less than 75 percent of amounts made available for such assistance; and
(B)activities described in section 6903(2) of this title are funded using not less than 15 percent of amounts made available for such assistance.
(2)Limit on individual assistance
No single person may receive more than 10 percent of the total funds appropriated under this chapter in a single fiscal year.
(b)Targeted assistance
The Administrator shall ensure that not less than 50 percent of the grants made under this chapter are used to benefit very low-income persons, including those residing on Indian reservations.
(c)Subgrants authorized
(1)In general
A qualified organization receiving assistance under this chapter may provide grants using that assistance to qualified small and emerging microenterprise organizations and programs, subject to such rules and regulations as the Administrator determines to be appropriate.
(2)Limit on administrative expenses
Not more than 7.5 percent of assistance received by a qualified organization under this chapter may be used for administrative expenses in connection with the making of subgrants under paragraph (1).
(d)Diversity
In making grants under this chapter, the Administrator shall ensure that grant recipients include both large and small microenterprise organizations, serving urban, rural, and Indian tribal communities serving diverse populations.
(e)Prohibition on preferential consideration of certain SBA program participants
In making grants under this chapter, the Administrator shall ensure that any application made by a qualified organization that is a participant in the program established under section 636(m) of this title does not receive preferential consideration over applications from other qualified organizations that are not participants in such program.

Reference

Citations & Metadata

Citation

15 U.S.C. § 6905

Title 15, Commerce and Trade

Last Updated

Sep 22, 2026

Release point: 119-110