Business Services Division | State Small Business Credit Initiative (SSBCI)

SSBCI Program Summary

The Ohio Department of Development received more than $55 million from the U.S. Department of Treasury for the State Small Business Credit Initiative (SSBCI) to leverage private lending to increase the amount of credit available to small businesses.

The Ohio Department of Development administers the following state-run financing programs utilizing SSBCI funds to help finance small businesses and manufacturers that are creditworthy, but are not receiving the financing they need from the private sector to expand and create jobs:

Collateral Enhancement Program (CEP)

Provides lending institutions with cash collateral deposits to use as additional collateral for loans made to eligible for-profit small businesses. Under the CEP, the Ohio Department of Development will open an interest bearing account with a Lender and deposit up to 30 percent of the loan amount where there is a collateral shortfall as determined by the Lender and the Ohio Department of Development (up to 50 percent of the loan amount for minority-owned businesses or businesses located in a Historically Underutilized Business Zone).

Ohio Capital Access Program (OCAP)

Supports small business lending by establishing a loan "guarantee" reserve pool at a lending institution that participates in the OCAP. The OCAP can provide financing to for-profit and nonprofit businesses that are having difficulty obtaining business loans through conventional underwriting standards. The state, the Lender, and the Borrower each pay a small contribution fee into the pool. The reserve pool is available to the participating Lender for recovery of any losses on any loan they have enrolled in the OCAP.

Targeted Investment Program (TIP)

Supports the growth and expansion of targeted small businesses within Ohio's manufacturing, production, and logistics value chains. TIP offers debt instruments tailored to the specific needs of the company at or below market interest rates. TIP targets small businesses that have received first or second round equity

SSBCI Presentation  (pdf)

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Office Business Assistance
Ohio Department of Development
77 South High Street, 24th Floor
Columbus, Ohio 43215-6108
(614) 644-7708