AUSTIN (KAMR/KCIT) — Officials with the office of Governor Greg Abbott announced the opening of the Texas Small Business Credit Initiative (TSBCI).
According to a news release from the office of Gov. Abbott, Texas financial institutions interested in participating in the programs assisting small businesses can begin applying on Monday, Oct. 9.
Officials with Abbott’s office, said from Oct. 9, 2023, through Dec. 9, 2023, the TSBCI web portal will open to accept applications from financial institutions and loan enrollment will begin Monday, Jan. 15, 2024.
Officials detailed that the State of Texas State Small Business Credit Initiative allocation agreement was signed by the U.S. Department of the Treasury, which funds the Texas Small Business Credit Initiative programs.
“Small businesses are the very backbone of the mighty Texas economy,” said Abbott. “Nearly half of all Texans are employed by the more than 3 million small businesses in our great state. I encourage Texas financial institutions to participate in the Texas Small Business Credit Initiative programs. Greater access to financing and affordable loans for Texas small businesses means more job growth and more paychecks for more Texas families. TSBCI embodies our unwavering commitment to fostering innovation, entrepreneurship, and economic prosperity for all.”
According to the news release, Texas will create two programs under the TSBCI including a Capital Access Program and a Loan Guarantee Program, which plan to be open to enroll new loans made to eligible new and existing Texas businesses with 499 or fewer employees.
Officials said the TSBCI programs will aim to assist small business growth while also creating new jobs through increased access to small business funding. The release stated that the programs plan on assisting all small businesses, but its main focus will be on traditionally marginalized businesses and those that have been impacted by the COVID-19 pandemic.
Officials added that the TSBCI is administered by the Economic Development Finance Division of the Economic Development & Tourism Office, within the Office of the Governor, on behalf of the U.S. Department of the Treasury.