Minnesota to get $97 million in Federal funds

Minnesota Money
Minnesota Money(MGN)
Published: Oct. 11, 2022 at 1:14 PM CDT
Email This Link
Share on Pinterest
Share on LinkedIn

Minn. (KTTC) – WASHINGTON — The U.S. Department of the Treasury announced the approval of 11 additional state plans for up to $1 billion in funding under the State Small Business Credit Initiative (SSBCI). Included in that is Minnesota.

Minnesota is approved for up to $97 million, this will go to operating six programs. $12.5 million will go to a new loan participation program to provide loads to Minnesota businesses purchasing machinery, equipment or software to increase productivity and automation.

Another $12.5 million will go to a multi-fund program called the Growth Loan Fund. This will invest in Minnesota-based ventures, targeting early-stage investments in start-ups in the state. These start-ups need to be tied to key sectors such as information technology, software, life sciences, agriculture, clean technology, and manufacturing.

Two additional venture capital programs, administered by the University of Minnesota Office of Investments and Banking, are getting a combined $34.5 million. The funds provide equity support to small businesses by co-investing in early-stage funding rounds alongside private investors and to small businesses by investing SSBCI capital in venture capital funds.

The Treasury has now announced the approval of 31 state plans for approximately $4.8 billion in SSBCI funding.