Tennessee’s SSBCI plan approved just hours before “Fund Tennessee” session started
Volunteer State is authorized to operate four programs - a loan participation program and three venture capital programs with Launch Tennessee responsible for $70 million of the $116.9 million approved.
Talk about impeccable timing.
A little less than four hours before the first of nine “Fund Tennessee” regional meetings was scheduled to start in Chattanooga on Monday, the U.S. Department of the Treasury announced that it had approved four additional plans for the State Small Business Credit Initiative (SSBCI). One of those was the Volunteer State’s proposal for up to $116.9 million.
The Treasury news release read as follows:
Tennessee, approved for up to $116.9 million, will operate four programs, a loan participation program and three venture capital programs. Tennessee allocated $46.9 million for a debt program that will participate in loan transactions with Community Development Financial Institutions (CDFIs) and Minority Depository Institutions (MDIs) that serve rural to urban areas of the state, including underserved communities. Tennessee, in partnership with LaunchTN, allocated $70 million for the equity program focused on direct investments in early-stage startups, along with a fund-of-funds strategy investing in emerging venture capital fund managers.
Other states with approved plans announced on Monday were:
- Delaware, approved for up to $60.9 million, will operate four programs: a capital access program, a loan participation program, and two equity/venture capital programs;
- Kentucky, approved for up to $117.1 million, will operate four programs: one loan participation program, one collateral support program, and two equity/venture capital programs; and
- Wyoming, approved for up to $58.4 million, will operate two equity/venture capital programs.
The full news release can be found here.
