SBA ISSUES NEW $5.0 MILLION SIZE STANDARD FOR THE ARRANGEMENT OF TRANSPORTATION OF FREIGHT AND CARGO (SIC 4731). ALSO, THERE IS A CHANGE IN THE CALCULATION OF RECEIPTS FOR FREIGHT FORWARDERS AND CUSTOMS BROKERS. The Small Business Administration (SBA) has established a size standard of $5.0 million in average annual receipts for the Arrangement of Transportation of Freight and Cargo (Standard Industrial Classification [SIC] code 4731). In addition, for brokers and agents in this industry such as Freight Forwarders and Customs Brokers, SBA changed how average annual receipts are calculated for these firms by allowing pass-through of funds held in trust for unaffiliated third parties. SBA adopted two exceptions to this size standard. For Non-Vessel Owning Common Carriers and for Household Goods Forwarders (who sometimes classify themselves in SIC 4731), the current $18.5 million size standard, based on gross receipts, will remain in effect. These revisions better define the size of business in this industry that SBA believes should be eligible for Federal small business assistance programs. The final rule with the new size standard and change to how receipts are calculated appeared in the Federal Register on August 9, 2000 (65 FR 48601-48605). A copy of the final rule is available on SBA's Website at http://www.sba.gov/library/lawroom.html#121FrtFrwdrs. The new size standard and changes are effective September 8, 2000. WEB: SBA Final Rule on SIC 4731, http://www.sba.gov/library/lawroom.html#121FrtFrwdrs. E-MAIL: SBA Office of Size Standardshttp://www.sba.gov/library/lawroom.html#121FrtFrwdrs, size.standards@sba.gov. Posted 08/10/00 (W-SN484327).

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