“I applaud the SBA for heeding our warnings that this significant of a change, and the small business owners it will impact deserve more time to comment on the rule."
Thursday, Sept. 24, 2026
Contact:
Molly Brogan
202-552-2904
SBA Extends Size Standards Deadline Following Widespread Criticism
Washington, D.C. – on Monday, Sept. 21, 2026, just hours before the initial comment deadline, the U.S. Small Business Administration (SBA) posted a notice that it would extend the deadline for comments on their proposed overhaul of the small business size standards. In late-August, SBA issued a proposed rule, which would upend decades of precedent and pave the way for significantly larger companies to compete with true small businesses. The new comment deadline is Nov. 20, 2026.
“I applaud the SBA for heeding our warnings that this significant of a change, and the small business owners it will impact deserve more time to comment on the rule,” stated NSBA President and CEO Todd McCracken. “Our members have raised major concerns with this rule which would upend decades of precedent and would dramatically increase the size of companies considered “small” for purposes of federal programs, causing real small businesses to be pushed out of the federal marketplace.”
NSBA and its membership mobilized as soon as the rule was published, submitting individual comments and weighing in with lawmakers to rethink or, at a minimum, give stakeholders more time to consider, understand and comment on a huge rewrite of a well-known system. NSBA submitted its own comments on the proposal on Friday, September 18, 2026, and has been engaging SBA and lawmakers on the issue continuously since the rule was first announced.
“Under this rule, the SBA estimates that an additional 114,541 firms will now be classified as small, which may sound small given there are millions of small businesses, but don’t be fooled: those companies have significant economic heft and already have federal contracts worth more than $71 billion, 40 percent of the total held by the entire small-business community last year,” stated McCracken.
NSBA is a staunch supporter of simplifying rules for small-business owners and making regulatory compliance less of a roadblock for would-be entrepreneurs. Unfortunately, this rule is the epitome of the cure being worse than the ailment.
Celebrating nearly 90 years in operation, NSBA is a staunchly nonpartisan organization advocating on behalf of America’s entrepreneurs. NSBA's 65,000 members represent every state and every industry in the U.S. Please visit www.NSBAadvocate.org or follow us at @NSBAAdvocate.