Securitizing Notes of Small Businesses and Needy Workers

Authors

Tamar Frankel, Boston University School of LawFollow

Author granted license

Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International

Document Type

Article

Publication Date

2022

ISSN

2531-6133

Publisher

University of Bologna

Language

en-US

Abstract

Businesses, whether large ones or small ones, such as restaurants and small shops, are presently closed and some of their employees have been laid off.¹ Currently, the government is lending money to these small businesses² and the now unemployed workers for their sustenance. It then collects the payments from some of the borrowers and the source of the rest of the money is taxes.³ Since not all, or perhaps only a few, small businesses own real estate, they might sign notes promising to repay the loans but can offer no asset backing. Presumably, the nation’s financial deficit is growing.⁴ The government adds the aggregate of the loans to the country’s costs and tax collection.

Comments

Also published in Bloomberg Tax on 9/28/2020 and on Business Law Today on 10/9/2020

Recommended Citation

Tamar Frankel, Securitizing Notes of Small Businesses and Needy Workers , in 6 University of Bologna Law Review 159 (2022).
Available at: https://scholarship.law.bu.edu/faculty_scholarship/3654