The AICPA, citing a continuing need for short-term liquidity in the marketplace, recommended on April 28 the creation of a federally backed lending facility that would provide loans to small businesses that pledge their future receivables.
In a letter to Treasury Secretary Steven Mnuchin and Federal Reserve Chairman Jerome Powell, AICPA President and CEO Barry Melancon, CPA, CGMA, supported an idea designed to create immediate cash flow for businesses through 90- to 180-day lending arrangements with the federal government.
In the AICPA’s vision, the Federal Reserve, with approval from Treasury, would create a federally backed short-term accounts receivable lending facility similar to other lending facilities the Fed has unveiled in recent weeks. Learn more.