The United States Department of Treasury released its report on the State Small Business Credit Initiative (SSBCI) and ranked the state of West Virginia in the top 10 nationally for management, performance and deployment of SSBCI funding. The state is currently ranked ninth in the nation for allocation of SSBCI funds, meaning the program dollars are being used efficiently to drive entrepreneurial support and growth.
The State Small Business Credit Initiative has been an instrumental program for the economic development of West Virginia since its reauthorization in 2021. Administered by the West Virginia Jobs Investment Trust (WVJIT) via the West Virginia Capital Access Program (WVCAP), this federal program provides funding to small businesses in the state, allowing them to expand, create, and retain jobs.
“Through the first two years of the WVCAP, the program has approved over 90 transactions, providing over $23,000,000 in direct loans and investments,” stated Andrew Zulauf, Executive Director of WVJIT. “Furthermore, this activity generated $42,000,000 in additional financing to these businesses. To date, the program has created 455 jobs, retained nearly 1,300 jobs and has served 26 counties.”
The WVCAP plays a vital role in Governor Justice’s economic development strategy for West Virginia,” said Director Kris Warner, West Virginia Economic Development Authority. “This program provides access to non-traditional financing to help grow our entrepreneurial and small business communities through West Virginia. This is just another strong message to say West Virginia is open for business.”
SSBCI was created under the Small Business Jobs Act of 2010 and reauthorized in 2021 by the American Rescue Plan Act. Under the SSBCI, West Virginia has been allocated $72,000,000 for small business financing. The program’s intention is to encourage investment in entrepreneurs by attracting private investment capital. This is accomplished through the WVCAP program participants – community lending organizations who match the investment of SSBCI funds.
“The success of WVCAP demonstrates the demand for alternative financing programs for our growing entrepreneurial ecosystem, which includes innovators, inventors, and aspiring small business owners,” said Zulauf. “The tireless work of our program participants, in conjunction with local community bankers who provide this type of funding to their clients, is the reason for the success of WVCAP.”
For more information on the WVCAP program, visit the WVJIT website at https://wvjit.wv.gov/wvcap.
