A bill to amend the Small Business Investment Act of 1958 to authorize small business investment companies to charge higher rates of interest.

Provides, under the Small Business Investment Act, that small business investment companies may, in any State prescribing a lower rate than permitted by such Act, provide financing in amounts of $25,000 or more at a rate of interest of not more than five percent in excess of the discount rate on 90-day commercial paper in effect at the Federal Reserve district where the small business investment company is located.