$1.5 Billion Goes As Small Business Loans Nationwide Through Programs Like SSBCI, SCN and CGP
It is through the State Small Business Credit Initiative (SSBCI) that the State of Wyoming received business funding. It amounts to $13.2 million and the fund is meant to help business capital programs that are being created by ‘Laramie Consortium’.
Under SSBCI, the final award is being made i.e. the ‘Lamarie Consortium’. This consortium is an alliance of 17 Wyoming municipalities. It is constructed for the purpose of obtaining SSBCI funding. The fund is available to the state of Wyoming under the 2010 Small Business Jobs Act.
The program will make $1.5 billion available to businesses nationwide. As Wyoming represents a small sliver of the nation’s population so it will be receiving $13.2 million out of the $1.5 billion fund.
The $1.5 billion money can be utilized to fund Seed Capital Network (SCN) and feed Credit Guarantee Program (CGP) so as to offer the much needed capital to the 17 municipalities under Lamarie Consortium. The programs are meant to encourage private banks and businesses so as to make federal dollars available to businesses. The funds are expected to generate $132 million in small business loans.
SCN acts as a venture capital firm and directly infuses small business loans of $33 million so as to help create an estimated 382 jobs.
CGP will make bulk of new loans by pledging 50% of loan’s cash value. The ‘Laramie Consortium’ has confidence that 1,500 jobs will be created through CGP. It will result in $109 million disbursements.