State Small Business Credit Initiative
Governor Andrew M. Cuomo signed
legislation that established the use of State Small Business
Credit Initiative (SSBCI) funds for three economic
development programs. These programs will enable small
businesses to leverage new capital and credit to help them
create private sector jobs.
The SSBCI is part of President Obama’s Small Business Jobs Act of 2010, which supports state-level small business credit programs. New York’s access to $55.4 million in SSBCI funds is expected to generate over $554 million in new private capital for small businesses.
The SSBCI funding will be used to support three separate small business development programs:
- The Innovate NY Fund, a new seed-stage equity fund to support innovation, job creation, and high growth entrepreneurship throughout the state. Approximately $45 million is allocated for this program.
- The Capital Access Program, provides matching funds to loan loss reserve pools at financial institutions as an incentive to increase small business lending. Approximately $9 million is allocated for this program.
New York State Surety
Bond Assistance Program, a newly
activated program that provides credit support, training
and technical assistance to help
small and minority – and women-owned business secure
surety bonds. Approximately $10 million has been
allocated to this program.
- New York State Bonding Assistance Program (Storm Recovery), a newly activated program that provides financial assistance to eligible small business contractors working on NY Rising Storm Recovery Housing Recovery Program construction projects obtain the required bonding.