WASHINGTON, Kan. (KWCH) – Kansas is one of five states approved for more funding to promote small business growth and entrepreneurship, the U.S. Department of the Treasury announced on Thursday.
The American Rescue Plan reauthorized and expanded the State Small Business Credit Initiative (SSBCI), which was originally established in 2010 and to help increase access to capital for traditionally underserved small businesses and entrepreneurs.
The new SSBCI will provide nearly $10 billion to states, the District of Columbia, territories, and Tribal governments to increase access to capital and promote entrepreneurship, especially in traditionally underserved communities as they emerge from the pandemic.
SSBCI funding is expected to catalyze up to $10 of private investment for every $1 of SSBCI capital funding, amplifying the effects of this funding and providing small business owners with the resources they need to sustainably grow and thrive.
State governments submitted plans to the treasury department for how they will use their SSBCI allocation to provide funding to small businesses, including through venture capital programs, loan participation programs, loan guarantee programs, collateral support programs, and capital access programs.
The Treasury also announced that it will have specialized programming to enable jurisdictions to share best practices for targeting investments in key industries and businesses owned by underserved entrepreneurs.
Copyright 2022 KWCH. All rights reserved.