Alaska Launches $59 Million Small Business Financing Program
November 4, 2022
The State of Alaska, the University of Alaska, and the Alaska Small Business Development Center (Alaska SBDC) today announced the launch of the Alaska State Small Business Credit Initiative (SSBCI). This statewide program will use $59.9 million from the U.S. Department of Treasury to finance incentives to help drive private sector funding to Alaska’s small businesses, particularly those that have traditionally had a hard time securing loans or equity investments.
“The State of Alaska is proud to be partnering with the University of Alaska Small Business Development Center to administer these programs,” said Governor Mike Dunleavy. “The timing of this lending support is crucial for small, Alaskan owned businesses as the state’s economy continues to strengthen.”
The Alaska SSBCI funds will be deployed by the Alaska SBDC through a $32 million loan guarantee program, a $15.9 million loan participation program, a $10 million equity investment program and a $2 million loan collateral program. These funds will be deployed over the next 10 years to help Alaska’s small businesses grow and thrive.
"This investment in Alaska businesses will empower innovation and entrepreneurship across the state,” said University of Alaska President Pat Pitney, “and our Small Business Development Center is the perfect partner to help mentor the recipients of these funds. I have no doubt the capital disbursed as a result of these programs will fuel our economy and benefit our communities.”
The funds will be available through Alaska lenders and local equity investment funds starting in January 2023. Businesses interested in using these programs to help secure financing should reach out to their lender or local equity investors.
Jon Bittner, State Director of the Alaska SBDC noted “The SSBCI program will be an amazing catalyst for economic growth, a perfect example of the state, University and private sector partnering to build a better future for Alaska.”
Businesses, lenders, or equity investors interested in learning more about the Alaska SSBCI funding programs should reach out to Jon Bittner.