; or (ii) an unemployment rate that is 1 percent greater than the national average; and (B) the young entrepreneurs business center determines would economically benefit from having small business start-ups established in such area. (d) Loan cancellation for founders of a small business start-Up in a distressed area For purposes of loan cancellation under subsection (r)(1) of section 455 of the Higher Education Act of 1965 ( 20 U.S.C. 1087e ) the young entrepreneurs business center shall approve a founder of a small business start-up in a distressed area if such founder— (1) established a small business start-up that— (A) on the date such small business start-up was established, was located in a distressed area identified by the young entrepreneurs business center under subsection (c) not more than 3 years before such date of establishment; (B) was certified under subsection (b); and (C) on the date of approval under this subsection, has been operating continuously for not less than 5 years; and (2) was employed as a founder of a small business start-up in a distressed area during the period in which such founder made the 24 payments described in subsection (r)(1)(A) of such section 455. (e) Definitions In this section: (1) Institution of higher education The term institution of higher education has the meaning given such term in section 102 of the Higher Education Act ( 20 U.S.C. 1002 ). (2) Small business start-up The term small business start-up means a small business concern that— (A) is not yet in existence