Investments in Innovation Act of 2025

[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [H.R. 5559 Introduced in House (IH)] <DOC> 119th CONGRESS 1st Session H. R. 5559 To amend the Small Business Investment Act of 1958 to exclude from the leverage limit calculation for small business investment companies certain amounts invested in socially and economically disadvantaged small business concerns, and for other purposes. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES September 23, 2025 Ms. Strickland (for herself and Mr. Smith of Washington) introduced the following bill; which was referred to the Committee on Small Business _______________________________________________________________________ A BILL To amend the Small Business Investment Act of 1958 to exclude from the leverage limit calculation for small business investment companies certain amounts invested in socially and economically disadvantaged small business concerns, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Investments in Innovation Act of 2025''. SEC. 2. INVESTMENTS IN SOCIALLY AND ECONOMICALLY DISADVANTAGED SMALL BUSINESSES. Section 303(b)(2) of the Small Business Investment Act of 1958 (15 U.S.C. 683(b)(2)) is amended by adding at the end the following new subparagraph: ``(E) Investments in socially and economically disadvantaged small businesses.-- ``(i) In general.--Subject to clause (ii), in calculating the outstanding leverage of a company for the purposes of subparagraph (A), the Administrator shall exclude the amount of the cost basis of any equity investment made by the company in a smaller enterprise that is a socially and economically disadvantaged small business concern (as defined in section 8(a)(4) of the Small Business Act (15 U.S.C. 637(a)(4))), to the extent that the total of such amounts d