Funding for the Program is provided by the U.S. Department of Treasury under the State Small Business Credit Initiative (SSBCI), authorized under the Small Business Jobs Act of 2010. Idaho Housing was approved as administrator for Idaho’s $13.2 million allocation on August 15, 2011.
The Program is a collaborative partnership between the U.S. Department of Treasury, Idaho Department of Commerce, Idaho Housing, and the Idaho Bankers Association. The program will be launched in November 2011. Small businesses statewide who are interested in this Program will need to work through their local banking and lending institutions to qualify.
In summary, the Program places pledged cash deposits with lending institutions to enhance the collateral of qualified small business borrowers who would not otherwise be able to obtain financing. The deposits are available to cover loan losses, in the event of a default, or are returned to be recycled for the benefit of another qualified borrower..
Eligible Loan Uses
The loan use must be for a business purposes, including but not limited to:
Any insured depository institution, insured credit union, or community development financial institution (CDFI) is eligible for participation in the program. All participating lenders must execute a Program participation agreement.
Note: The above Program outline is a draft. A full Program Guide is being prepared and terms and conditions of the Program are subject to change before implementation. If you have questions regarding the program, please contact Cory Phelps by phone at 208-331-4725 or by email at firstname.lastname@example.org. You may also visit our website at www.idahohousing.org and click on the Small Business Loan Programs button located on the left side of the site.