MicroCap Small Business Investing Act of 2023

S 1157, the MicroCap Small Business Investing Act of 2023, creates a new license category for small business investment companies (SBICs) to help underserved entrepreneurs. It allows up to 10 new licenses annually for firms that don't meet standard investment experience requirements but have proven business success and commit to investing at least 25% of capital in low-income communities, opportunity zones, R&D businesses, manufacturers, or rural areas. The bill mandates a streamlined 90-day processing timeline for applications, requires independent investment committee oversight, and limits leverage to $25 million per company. This directly affects new SBICs targeting underserved markets, aiming to expand access to capital for businesses in specific high-need sectors and locations.