North Carolina Receives $201M for Small Businesses, Resources for Women-Owned Businesses, and More!
The U.S. Treasury Department, through the North Carolina State Legislature’s recently passed budget, allocated nearly $202 million in federal funding to the Rural Center to support small businesses throughout the State. This allotment of State Small Business Credit Initiative (SSBCI) funding will continue to help small businesses through three programs: Loan Participation Program (LPP), Capital Access Program (CAP), and the NC Venture Capital Program. We believe that access to loan capital is a fundamental component of an equitable, vibrant, and growing economy. Our focus is on strengthening the organizations who are already doing this critical work. To that effect, we will partner with community banks, Community Development Financial Institutions, and equity fund managers directly to enhance small businesses ability to access the capital they need to grow their business.
The Loan Participation Program works with institutional lenders by purchasing typically subordinate participations in loans made to small businesses in North Carolina.
The Capital Access Program (CAP) provides additional loan loss reserves to institutional lenders for business loans that they enroll.
This allocation is part of a second round of funding for SSBCI, an initiative first established by the Small Business Jobs Act of 2010 and funded by the U.S. Department of Treasury that has since been managed by the NC Rural Center, and is now funded through the American Rescue Plan Act (ARPA)
Are you a small business looking for capital? Small businesses and entrepreneurs cannot access SSBCI funds directly through these programs. Our programs work with institutional lenders and venture funds. If you are seeking a business loan from a bank or other lender, we encourage you to ask if the SSBCI programs can be used to strengthen your request. In the near future, we will be sharing a list of our participating lending partners who currently use the programs above, should you wish to engage with them.
To learn more, please visit State Small Business Credit Initiative | NC Rural Center