State Small Business Credit Initiative (SSBCI)
Flexible state-supported capital solutions for your business.
At American Lending Center, we go beyond traditional financing by leveraging SSBCI programs to provide tailored funding solutions that help your business grow with confidence.
Strategic Guidance
Smart Financing
Real Results
What is the SSBCI?
The State Small Business Credit Initiative (SSBCI) was originally created through federal legislation – the Small Business Jobs Act of 2010. The program is designed to help states address the challenges small businesses face in securing financing.
In California, SSBCI-funded programs are administered by both the California Infrastructure and Economic Development Bank (IBank), housed within the Governor’s Office of Business and Economic Development, and the California Pollution Control Financing Authority, housed within the California State Treasurer’s Office.
The American Rescue Plan Act of 2021 reauthorized and funded a new version of the original SSBCI program, providing a combined $10 billion to states and Tribal governments to empower small businesses to access capital needed to invest in job-creating opportunities. The funds also support promotion of American entrepreneurship and democratize access to startup capital across the country, including in underserved communities.
Background
The State Small Business Credit Initiative (SSBCI) was originally created through federal legislation – the Small Business Jobs Act of 2010. The initial SSBCI program (SSBCI 1.0) was funded with $1.5 billion to strengthen state programs that support financing of small businesses. California received $168 million of the $1.5 billion, which was shared between two state agencies focused on small business support – the California Infrastructure and Economic Development Bank’s (IBank) Small Business Finance Center and the California Pollution Control Financing Authority, housed within the State Treasurer’s Office.
For general information about SSBCI, visit the U.S. Treasury website.
Eligible states can use SSBCI funds to support the following types of small business financing programs:
- Capital Access — Offered in California through California Pollution Control Financing Authority
- Collateral Support — Offered in California through California Pollution Control Financial Authority
- Loan Guarantee — Offered in California through IBank
- Loan Participation
- Venture Capital — Offered in California through IBank
What are some eligible uses of the Small Business Loan Guarantee program financing proceeds?
Eligible uses of the Small Business Loan Guarantee program financing proceeds include start-up costs, construction, inventory, working capital, business expansion, agriculture, lines of credit and more.
In 2022, American Lending Center received authorization to participate in the following California SSBCI programs:
- The California State Loan Guarantee Program (LGP), offered through IBank.
- The CalCAP CARB program offered through the California Pollution Control Financing Authority.
What are some eligible uses of the Small Business Loan Guarantee program financing proceeds?
Eligible uses of the Small Business Loan Guarantee program financing proceeds include start-up costs, construction, inventory, working capital, business expansion, agriculture, lines of credit and more.
The business must have between 1-750 employees and be established as an entity including:
- Sole Proprietor – Individual using legal name as business name that files a Schedule C, Schedule F, or has a fictitious business name or DBA statement
- If the loan appears to be in the name of an individual, evidence of Sole Proprietorship will be required and may include a Schedule C, Schedule F, Seller’s Permit, and/or fictitious business name or DBA statement
- Limited Liability Company
- Cooperative
- Corporation
- Partnership
- S-Corporation
- Not-for-profit
We will not accept an individual as the borrower. It is permissible for an individual to be a guarantor or co-borrower on the loan, but the primary borrower must be a small business. We do not consider citizenship or immigration status for eligibility requirements, as long as the entity/individual meets the above criteria. Trucking owner/operators are eligible as long as they are registered as a legal business entity.
AND
The business activity must be eligible under the program and in one of the industries listed in the North American Industry Classification System (NAICS) codes list.
What are some eligible uses of the Small Business Loan Guarantee program financing proceeds?
Eligible uses of the Small Business Loan Guarantee program financing proceeds include start-up costs, construction, inventory, working capital, business expansion, agriculture, lines of credit and more.
Startup Costs & Working Capital
Construction & Inventory
Business Expansion & Line of Credit
Agriculture & More
FAQs
Who is eligible to apply for a loan?
Eligible applicants must be established business entities with between 1 and 750 employees. The business must be legally registered and fall under an eligible structure.
What are some eligible uses of the Small Business Loan Guarantee program financing proceeds?
Eligible uses of the Small Business Loan Guarantee program financing proceeds include start-up costs, construction, inventory, working capital, business expansion, agriculture, lines of credit and more.
What types of business entities are eligible?
- The following business structures are eligible:
- Sole Proprietorship
- Limited LiabilityCompany (LLC)
- Partnership
- Corporation (including S-Corporation)
- Cooperative
- Not-for-profit organization
Are sole proprietors eligible?
Yes. Sole proprietors are eligible if they operate under their legal name or have a registered fictitious business name (DBA). Supporting documentation may include:
- Schedule C or Schedule F
- Seller’s Permit
- Fictitious Business Name or DBA statement