SSBCI: State Small Business Credit Initiative

Explore the New Mexico SSBCI Program, providing venture capital to help small businesses access create jobs. Home Programs and Services Business Development SSBCI: State Small Business Credit Initiative SSBCI: State Small Business Credit Initiative On March 11, 2021, President Biden signed The American Rescue Plan Act (ARPA), which reauthorized and funded the State Small Business Credit Initiative (SSBCI). The new version of the SSBCI program provides a combined $10 billion to states, the District of Tribal governments to empower small businesses to access capital needed to invest in job-creating opportunities as the country emerges from the pandemic. The funds will also support recipient jurisdictions in promoting American entrepreneurship and democratizing access to startup capital across the country, including in underserved communities. Read more about the SSBCI program on the US Dept. of Treasury website Treasury Objectives Promote Equity. The program has a capital allocation to business enterprises owned and controlled by socially and economically disadvantaged individuals (SEDI-owned businesses), along with incentive funds for jurisdictions that demonstrate robust support for SEDI-owned businesses. Catalyze Private Investment. SSBCI is designed to catalyze $10 of small business lending and investment for every $1 of SSBCI capital program funding, magnifying the effects of the federal funds allocated through the program. Fuel Economic Growth and Good Jobs. SSBCI will build on the Administration’s work to support small businesses while combating longstanding structural inequities in access to credit and unequal opportunities for growth revealed and exacerbated by the pandemic. Program Results New Mexico is allocated to receive up to $74 million over the course of the 10-year program. SSBCI funding is distributed in three different tranches. The state has received two of the three tranches and can draw the third and final tranche once it deploys 80% of the previous tranche. $48.1 million total allocations received 73% of transactions assisted businesses owned by Social and Economically Disadvantaged Individuals (SEDI). $3.2 million incentive allocations received by NM due to high volume of deployment to SEDI-owned businesses. $24.7 million transferred. 67 New Mexico businesses have received funding. $49.8 million in loans to or investments in NM businesses catalyzed. The Capital Connect P rogram (an SSBCI Technical Assistance program) is designed to help businesses and VC fund managers prepare to access SSBCI and other funding by supporting registered business owners in various critical areas. The program focuses on providing essential support to very small (VSB) and socially economically disadvantaged (SEDI) owned businesses. It will offer business workshops and 1:1 assistance to eligible businesses with services such as financial advisory, legal advisory, and accounting assistance. A portion of the program is specifically tailored for venture capital interested funds and emerging fund managers and business interested in accessing venture capital. The New Mexico SSBCI TA program aims to provide the necessary tools and guidance to help these businesses thrive. By offering targeted assistance in key areas, the TA program seeks to empower businesses in navigating accessing capital to support growth, job creation, and sustainability of New Mexico’s business community. The following contractors have been selected via RFP to administer the NM SSBCI TA program for the first year. WESST – Financial Advisory Services HatchForm LLC – Legal Advisory Services Revby – Accounting Services UNM Anderson – Venture Capital and Emerging Fund Manager Assistance in the areas of Accounting Learn more about the SSBCI TA Program Definition of a Very Small Business (VSB) and a SEDI-owned business A Very

The Capital Connect P rogram (an SSBCI Technical Assistance program) is designed to help businesses and VC fund managers prepare to access SSBCI and other funding by supporting registered business owners in various critical areas. The program focuses on providing essential support to very small (VSB) and socially economically disadvantaged (SEDI) owned businesses. It will offer business workshops and 1:1 assistance to eligible businesses with services such as financial advisory, legal advisory, and accounting assistance. A portion of the program is specifically tailored for venture capital interested funds and emerging fund managers and business interested in accessing venture capital. The New Mexico SSBCI TA program aim