Network+Chill

Jan 18th

SSBCI:
A 10 BILLION DOLLAR PROGRAM

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Introduction

Thank you all who joined our live lunch n' learn yesterday! We were thrilled to introduce the State of Small Business Credit Initiative (SSBCI). This federal program, originally allocated in 2010, has recently been reauthorized and expanded through the American Rescue Plan in 2021. With a total funding of $10 billion, SSBCI aims to support small businesses and entrepreneurship across the United States. Here is a recap of what we discussed for those who attended live and for those who are going to catch the recording. Please feel free to reach out for additional questions and needs on this. We will be planning a part 2.

Opportunities for Growth

As we embark on the journey of 2024, we believe that this year holds immense potential for small businesses. SSBCI presents a unique opportunity to access capital, enhance business growth, and promote economic development.

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The Economic Impact of Startups and Small Businesses

While many people associate startups and small businesses with financial success, it's important to recognize the broader economic impact they have. These ventures create job opportunities, drive economic growth, and contribute to the overall development of local ecosystems. SSBCI aims to foster inclusive economic development by supporting underrepresented businesses and ensuring equitable access to capital. By investing $10 billion, the government expects to generate $90 billion in small business investments and create 1 million jobs.

The Capital Program

SSBCI offers two types of programs: the capital program and the technical assistance program. The capital program provides funding for small businesses, including venture capital, loans, and credit support from banks. This program aims to address the primary need of businesses - access to capital. By providing financial support, SSBCI enables businesses to secure loans and investments, giving them a stronger foundation for growth and expansion.

The Technical Assistance Program

In addition to the capital program, SSBCI also offers a technical assistance program. This program focuses on helping businesses prepare for loans and investments. It provides legal services, accounting support, and financial guidance to ensure businesses are equipped with the necessary knowledge and resources to navigate the funding process. The technical assistance program plays a crucial role in facilitating the success of businesses by offering guidance and support.

State-Specific Programs

Each state has its jurisdiction and programs within SSBCI. Let's take a closer look at a few states to understand their unique offerings:

Kentucky

Kentucky has allocated funds to various programs under SSBCI, including the Collateral Support Program, the Loan Participation Program, the Kentucky Strategic Ventures Fund, and the Kentucky Matching Venture Funds. These programs aim to provide collateral support, loan participation, and equity investments to underserved businesses, particularly those with fewer than 10 employees. Key Horse Capital is the administrator for the Kentucky Matching Venture Funds, offering funding to businesses at different stages of growth.

Indiana

Indiana has two primary programs under SSBCI: the Fund Investment Program and the Indiana Angel Network Fund. The Fund Investment Program supports loan participations, while the Indiana Angel Network Fund focuses on equity capital for businesses seeking between $500,000 and $5 million in funding. Elevate Ventures is the administrator for the Indiana Angel Network Fund, providing capital and support to businesses in Indiana.

Tennessee

Tennessee offers three programs as part of SSBCI: the Lending Program, the Seed Fund Program, and the Tennessee Multifund Program. These programs provide various forms of capital, including loans and equity investments, to support local businesses. By leveraging these programs, businesses in Tennessee can access the funding they need to thrive and contribute to the state's economic development.

Networking and Collaboration

Networking and collaboration are essential for businesses looking to benefit from SSBCI. Building connections with program administrators, such as Key Horse Capital in Kentucky, Elevate Ventures in Indiana, and Launch Tennessee, can provide valuable insights and increase your chances of securing funding. Actively engaging with these administrators, attending events, and seeking their guidance can help you navigate the application and selection process. Remember, these programs are designed to support your business's growth and success.

Catch the video replay here:

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Key Takeaways

SSBCI presents a tremendous opportunity for small businesses and entrepreneurs. With the federal government's commitment to fostering economic development and providing access to capital, businesses can thrive and contribute to their local economies. Whether you're in Kentucky, Indiana, Tennessee, or any other state, each jurisdiction offers unique programs and funding opportunities. Take the time to explore and understand the programs available in your state, network with program administrators, and leverage the resources provided by SSBCI. Together, we can create a vibrant and thriving small business ecosystem across the United States. Check out these websites for more information.

​www.keyhorse.vc​

​www.elevateventures.com​

​www.launchtn.org​

​www.treasury.gov​

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Join us Next Week

Edrizio's story serves as a testament to the power of hard work and determination. In his book, he emphasizes the importance of focusing on one thing at a time and taking action. Each chapter provides actionable steps that readers can implement immediately. Edrizio's journey inspires us to pursue our goals with unwavering dedication and to seek guidance from our teams, blocking out external noise. Whether you're a startup founder or a small business owner, Edrizio's story is relatable and filled with valuable lessons.
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Spaces are limited! Register now: https://www.affinna.com/event/underdog​