Using public data released by the 2006 “Google Your Government Act” (Federal Funding Accountability and Transparency Act), we quantified tens of billions of dollars paid to companies serving the “Wealthy Lifestyle” during the years 2007-2013. This sum represents, The Federal TransferTM and is comprised of disclosed SBA loans and loan guarantees.
Among the findings:
- $67.23 billion in Federal TransferTM SBA loans and loan guarantees flowed to 34,677 entities with a minimum amount of $1 million (FY2007-2013).
- Amongst the $1 million SBA Wealthy Lifestyle loan recipients are exclusive Rolex and other up-scale, affluent jewelers; Lamborghini and other luxury auto dealers; aesthetic enhancement and plastic surgery clinics; helicopter tour companies, BMW motorcycle dealers; wineries- including those in Napa Valley and Sonoma, CA; lodges and resorts in Jackson Hole, Cape Cod, Palm Beach, Lake Tahoe and across America; high-end private clubs for yachting, skiing, shooting, surfing, smoking cigars, and members-only country clubs; injury lawyers; artistic dental firms; venture capital, mezzanine finance & private investment pools; specialty companies including luxury pet resorts, golf courses, marinas & more!
- 101% increase in $1 million SBA loans and loan guarantees during the last three years of the Obama Administration (2011-2013) vs. the period (2008-2010). $1 million SBA loans amounted to $9.285B (2007), $6.937B (2008), $4.52B (2009), $7.87B (2010), $13.01B (2011), $11.006B (2012), and $14.767B (2013).
- $252 million in the Federal TransferTM via SBA loans flowed to Fortune 100 companies- who are off loading investment risk to taxpayers by subdividing their national distribution networks to receive low, taxpayer subsidized interest rates and guaranteed loans.
- $9.219 billion flowed into venture capital, capital partner firms, mezzanine finance firms, private investor funds and investment pools. Since 2007, 329 SBA loans and guarantees flowed to companies like Hercules Technology, CA; BB&T Capital, NC; and Gemini Investors, MA. On average, investment banking firms each collected an average of $28.23 million per transaction from the SBA.