About SSBCI
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 $10 billion to states, the District of Columbia, territories, and Tribal governments to empower small businesses as the country emerges from the pandemic. The program supports business enterprises owned and controlled by Socially and Economically Disadvantaged individuals (SEDI-owned businesses), Very Small Businesses (1-9 employees) and Small Manufacturing Enterprises.
Idaho received $65,000,000 to expand its capital and collateral support programs and $1,031,720 to administer a new Technical Assistance (TA) program. SSBCI capital programs are administered by five economic districts as well as the Idaho Housing and Finance Association, as well as the Idaho Small Business Development Center designated as lead office for the SSBCI technical assistance programming.
SSBCI in Idaho: AT A GLANCE – New Funding for Idaho Businesses – We’ll Help You Get There
Idaho is allocated to receive an estimated $65,000,000 over the course of the program. The Idaho SBDC in partnership with 5 Statewide Economic Development Districts in addition to the Idaho Finance and Housing Association are the administrative leads for the state to deploy the funding and supporting technical assistance.
SSBCI offers states and tribal entities funding for:
- Credit and investment programs for both existing small businesses and startups
- Technical assistance to small businesses seeking SSBCI funding and other government small business resources
The Idaho SSBCI program is currently onboarding lenders and is now accepting loan applications.

Funding Programs:
The Two Idaho SSBCI Funding Programs
- Idaho Small Business Revolving Loan Fund ($26,000,000) with these statewide partners (Economic Development Districts (EDDs): Panhandle Area Council, Inc., Clearwater Economic Development Association, Inc., Region IV Development Association, Inc., Southeast Idaho Council of Governments, Inc., East Central Idaho Planning and Development Association, Inc.
- Idaho Small Business Revolving Loan Fund ($26,000,000) with these statewide partners (Economic Development Districts (EDDs): Panhandle Area Council, Inc., Clearwater Economic Development Association, Inc., Region IV Development Association, Inc., Southeast Idaho Council of Governments, Inc., East Central Idaho Planning and Development Association, Inc.
Idaho Small Business Revolving Loan Fund Requirements
The objective of the Idaho Small Business Revolving Loan Fund Program is to facilitate the startup and growth of VSB and SEDI businesses throughout the State of Idaho. These loans are typically made in collaboration with commercial lenders and seek to provide financial assistance to eligible businesses that would otherwise lack adequate access to capital for viable business development projects.
- Be a U.S. Citizen or permanent resident alien; and
- Be a business which is authorized to conduct business in Idaho; and
- Meet the definition of a “Small Business” as defined by the US Small Business Administration.
- The ISBRLF provides companion loans ranging from $25,000 to $750,000 representing an average of 28 percent participation of the financing package.
- The eligible uses of the loan include working capital, equipment and real estate. Five Economic Development Districts (EDDs) – non-profit organizations designated by the US Economic Development Administration – provide the companion loans to leverage private financing offered local lending institutions, banks and credit unions.
- The program targets very small businesses (VSBs) in underserved and socially/economically disadvantaged (SEDI) individuals/communities throughout the state and communities with high concentrations of migrant agricultural and low-income rural populations.
Program funds cannot be used for the following:
- Not registered sex offenders
- Program funds cannot be used for the following:
- Cannabis related businesses
- Passive real estate investments
- Gaming
- Purchasing an owners’ share in the business or reimbursement of owner contributions.
- Paying off existing loans (some limited exceptions)
- SSBCI funds cannot be used in connection with other federal funding programs (SBA, USDA, EDA, BIA, etc)
Idaho Collateral Support Program Requirements
The program provides funds to support a loan where a borrower is unable to meet a lender’s collateral requirements. The program can secure up to 20 percent of a loan where there is insufficient collateral by depositing funds into a lender account.
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- Borrower is registered and doing business in Idaho.
- The business structure is a for-profit corporation, partnership, limited liability corporation, limited liability partnership, joint venture, sole proprietorship, cooperative, or other entity which is authorized to conduct business in the State of Idaho.
- The business employs 100 or fewer employees.
- Borrower is not an executive officer, director, or a principal shareholder of the participating Lender or has a related interest in or is an immediate family member of an executive officer, director, or principal shareholder of the participating Lender.
- Principal(s) of the entity have not been convicted of a sex offense against a minor (as such terms are defined in Section 111 of the Sex Offender Registration and Notification Act (42 U.S.C. 16911)). ∙ SEDI (Socially and Economically Disadvantaged Individuals) Owned Businesses Enterprises as defined in the Lender Participation Agreement are encouraged.
Collateral Support Program Loans must be for a business purpose and include but are not limited to the following purposes:
- Start up costs
- Working Capital
- Business Acquisitions and Expansions
- Franchise Financing
- Equipment Purchases
- Employee Stock Ownership Plan (ESOP)
- Inventory Financing
- Small Business Owner-Occupied Commercial Real Estate Acquisitions
- Construction
- Refinancing debt (certain conditions apply)
- Lender Bears a 20% or Greater Risk of Loss
Idaho Collateral Support Program funds cannot be used for the following:
- Change of Ownership
- Owner Reimbursement or Equity
- Paying Delinquent Taxes
- Passive or Investment Real Estate Speculative Activities
- Lending
- Pyramid Schemes
- Illegal Uses
- Gambling
- Charities and Nonprofits
- Purchase of the Ownership of any Owner in a Business
Priorities & Objectives
The Idaho SSBCI program will prioritize supporting investments in businesses owned and controlled by Socially and Economically Disadvantaged Individuals (SEDI) and Very Small Businesses (VSB). The definitions of those businesses are:
Socially and Economically Disadvantaged Individuals (SEDI) Defined by reference to section 8 of the Small Business Act (15 U.S.C. 637), the definition includes:
- Socially disadvantaged individuals are those who have been subjected to racial or ethnic prejudice or cultural bias because of their identity as a member of a group without regard to their individual qualities.
- Economically disadvantaged individuals are those socially disadvantaged individuals whose ability to compete in the free enterprise system has been impaired due to diminished capital and credit opportunities as compared to others in the same business area who are not socially disadvantaged.
Very Small Business (VSB)
Very Small Business is defined as a business with fewer than 10 employees; and may include independent contractors and sole proprietorPriorities & Objectives
U.S. TREASURY OBJECTIVES
PROMOTE EQUITY
The program has a capital allocation to businesses owned and controlled by socially and economically disadvantaged individuals (SEDI-owned businesses), along with incentive funds for states and tribal entities that demonstrate robust support for SEDI-owned businesses.
CATALYZE PRIVATE INVESTMENT
Over the ten-year life of the program, the SSBCI is designed to leverage $10 of private sector funding for every $1 of SSBCI capital program funding deployed, 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 long standing structural inequities in access to credit and unequal opportunities for growth revealed and exacerbated by the pandemic.