Following announcement of latest grant competitors, Treasury Division awards second spherical of State Small Enterprise Credit score Initiative Technical Help grants to assist small companies entry authorized, accounting, and monetary counsel
WASHINGTON – As half the Biden-Harris Administration’s Investing in America Agenda, the U.S. Division of the Treasury at this time introduced the approval of 20 further state awards beneath the State Small Enterprise Credit score Initiative (SSBCI) Technical Help Grant Program, totaling greater than $50.8 million. These awards will probably be used to offer authorized, accounting, and monetary advisory providers to eligible small companies making use of for the SSBCI capital program and different authorities small enterprise packages. The awards being introduced at this time are along with the latest announcement of a brand new $75 million aggressive grant program, the SSBCI Investing in America Small Enterprise Alternative Program, to help technical help, reminiscent of authorized providers to assist companies acquiring capital from traders and advising on monetary administration, for very small and underserved companies.
“These investments are a key a part of the Biden-Harris Administration’s efforts to gasoline the small enterprise increase by offering small companies and entrepreneurs the sources they should succeed,” mentioned Deputy Secretary Wally Adeyemo. “In the present day’s bulletins will assist unlock the potential of entrepreneurs in underserved communities throughout the nation who might have in any other case by no means had the help wanted to pursue their enterprise concepts and ambitions.”
President Biden’s American Rescue Plan reauthorized and expanded SSBCI, which was initially established in 2010 and was extremely profitable in rising entry to capital for small companies and entrepreneurs. The brand new SSBCI builds on this profitable mannequin by offering practically $10 billion to states, the District of Columbia, territories, and Tribal governments to extend entry to capital and promote entrepreneurship, particularly in historically underserved communities as they emerge from the pandemic. SSBCI funding at giant is predicted to catalyze as much as $10 of personal funding for each $1 of SSBCI capital funding, amplifying the results of this funding and offering small enterprise house owners with the sources they should sustainably develop and thrive.
The expanded SSBCI contains funding for technical help to assist very small companies – outlined as companies with fewer than ten workers, together with unbiased contractors and sole proprietors – and underserved small companies apply for the SSBCI Capital Program and different authorities small enterprise packages. The Treasury Division’s SSBCI Technical Help Grant Program and the newly introduced SSBCI Investing in America Small Business Opportunity Program are each designed to enhance the SSBCI Capital Program. Whereas entry to capital is a key part for small enterprise stability, resiliency, and progress – notably for traditionally underserved small companies – further technical help will assist small companies safe and maximize that capital. The Technical Help Program will present very important assist to assist small companies grow to be “capital prepared” by making ready them to tackle loans or funding and steward capital for small enterprise success.
From at this time’s $50.8 million awards beneath the SSBCI Technical Help Grant Program to twenty states, listed here are examples of how Bidenomics helps states present authorized, accounting, and monetary advisory providers to small companies:
- Michigan, particularly the Michigan Financial Improvement Company, authorized for practically $5.3 million in SSBCI technical help grant funding, will work with 9 technical help suppliers to ship technical help, notably within the areas of economic mortgage preparedness and the event of economic statements in addition to wrap round help for debtors. The Michigan Financial Improvement Company anticipates supporting 1,000 small companies with this federal funding.
- Virginia, authorized for $4.1 million in grant funding, will work with the Virginia Small Enterprise Financing Authority and its chosen technical help suppliers to supply one-on-one mentoring, workshops, webinars, job and useful resource festivals, and neighborhood occasions to underserved companies and really small companies immediately with help from authorized, accounting, and monetary advisory suppliers. The Virginia Small Enterprise Financing Authority anticipates offering help to 1,000 small companies with this federal funding.
- South Carolina, particularly the South Carolina Jobs-Financial Improvement Authority, authorized for $3.1 million in grant funding, will work with the South Carolina Small Enterprise Improvement Heart hosted by the College of South Carolina to supply a collection of coaching occasions all through the state, networking alternatives with lenders, and one-on-one assessments with enterprise consultants, who will join underserved and really small companies immediately with advisory providers, as wanted. The South Carolina Small Enterprise Improvement Heart anticipates that it’ll serve upwards of 600 small companies by means of classroom coaching, present counseling to over 2,800 complete small enterprise purchasers, and that these providers will end in over 360 accomplished SSBCI capital functions, along with connecting companies to different sources of federal help.
To this point, the Treasury Division has introduced the approval of $108.7 million in technical help grants to 32 states. Along with at this time’s announcement, thus far, the Division has introduced the approval of state, territory, and Tribal authorities plans comparable to over $8 billion in funding beneath the SSBCI Capital Program to help small enterprise and entrepreneurship and increase entry to capital. Within the coming months, the Treasury Division will proceed to assessment and approve plans beneath each the Capital Program and Technical Help Grant Program.