Governor Andrew M. Cuomo signed legislation that established the use of State Small Business Credit Initiative (SSBCI) funds for three economic development programs. These programs will enable small businesses to leverage new capital and credit to help them create private sector jobs.

The SSBCI is part of President Obama’s Small Business Jobs Act of 2010, which supports state-level small business credit programs.  New York’s access to $55.4 million in SSBCI funds is expected to generate over $554 million in new private capital for small businesses.

The SSBCI funding will be used to support three separate small business development programs:

• The Innovate NY Fund, a new seed-stage equity fund to support innovation, job creation, and high growth entrepreneurship throughout the state.  Approximately $26 million is allocated for this program.

• The Capital Access Program, a newly expanded program that will provide matching funds to loan loss reserve pools at financial institutions as an incentive to increase small business lending. Approximately $19 million is allocated for this program.

• New York State Surety Bond Assistance Program, a newly activated program that provides credit support, training and technical assistance to help small and minority – and women-owned business secure surety bonds.  Approximately $10 million has been allocated to this program.