Nevada could see as much as $130 million in capital for small business from innovative lending programs

October 8, 2010

 Las Vegas, NV—Nevada Senator Harry Reid today announced that Nevada will receive $13 million for small business lending from the Small Business Jobs Act, which Reid led to passage in the Senate. The funding is for the State Small Business Credit Initiative (SSBCI), which supports increased lending to small businesses through innovative local programs that help business owners expand their enterprise and create new jobs. Once programs are set up at the state level, Nevada’s allocation could be leveraged to as much as $130 million in lending funds for small companies.  Either the state government or local governments can design a program to use these funds.

Additionally, as this new law is implemented Small Business Administration (SBA) loan programs will be extended and expanded. Four Nevada small businesses will receive nearly $900,000 in new SBA loans.

“Every time I talk with small business owners in Nevada the number one challenge they have to growing their business is getting access to capital,” said Reid. “That is why we passed this new law to get local banks and state programs lending again. I urge Nevada state leaders to act quickly so that this money can be delivered to our state’s biggest job creators—small businesses.”

The SSBCI allows states to build upon existing, successful state-level small business lending programs, including examples such as collateral support programs, Capital Access Programs, and loan guarantee programs. In addition to this state-based program to increase access to credit, the Small Business Jobs Act includes eight new small business tax cuts that are already in effect. The new law also creates a $30 billion national Small Business Lending Fund to help small and community banks provide new loans in their communities.