Lifeline For Small U.S. Businesses on The Chopping Block

A vital funding program for small businesses is at risk of being cut under an executive order from President Donald Trump, Forbes Daily reported.

For fiscal year 2025, the CDFI Fund has $324 million available for grants. I Image: Community Development Financial Institutions Fund (CDFI Fund) Facebook

The Community Development Financial Institutions Fund (CDFI Fund), a long-running program under the US Treasury, provides critical financing to small businesses in underserved areas.

For fiscal year 2025, the CDFI Fund has $324 million available for grants, with advocates estimating an economic impact of more than $2.5 billion from this investment.

Trump’s cost-cutting efforts are also affecting government contractors. Shares of consulting giant Accenture sank 7% to an eight-month low after CEO Julie Sweet noted that new government business acquisitions had slowed. Revenue from federal government contracts accounts for 8% of Accenture’s $65 billion in global revenue.

The administration has targeted major federal contractors, including Accenture, Booz Allen Hamilton, and Deloitte, as part of its broader spending reduction initiative.