The TARPing of small business

A plan that would use part of the TARP pool of funds to aid small business is gaining momentum among Administration financial leaders. The lead story in The Washington Post on Dec. 11 says "One plan under consideration involves spinning off a new entity from the Troubled Assets Relief Program that would give banks access to federal funds without restrictions, including limits on executive pay, as long as the money was used to support loans to small businesses."

The plan may actually work if it can overcome a modest number of high hurdles.