Small-Business Loans Caught in Trump Immigration Crackdown

—Small businesses are encountering unexpected obstacles obtaining federal loans due to Trump administration immigration enforcement policies, with some loan applicants facing scrutiny over the immigration status of employees or owners. The SBA lending process has become entangled with broader enforcement mechanisms, creating delays and denials for businesses that have historically relied on federal financing. Immigrant-owned businesses and those employing significant numbers of immigrants have been particularly affected. Business advocates warn the disruption could harm economic activity in communities where small enterprises are major employers.