Published Dec. 19, 2013
South Carolina deployed $16.1 million to expand local small businesses through the U.S. Department of the Treasury’s State Small Business Credit Initiative.
The total, through Sept. 30, represented 90% of South Carolina’s total allocation of funds, one of the highest usage rates across the country, the Treasury Department said.
States use the funds to attract private lending and investment in small businesses, often by partnering with local community banks. The program is designed to generate at least $10 in new private lending for every $1 in federal funding.
“These federal funds are allowing small businesses and entrepreneurs to hire new workers, expand their operations and power the economic recovery across America,” said Mary Miller, Treasury undersecretary for domestic finance.
In South Carolina, the S.C. Jobs-Economic Development Authority applies for the funds, which then are used to boost credit that private lenders can make available to qualifying creditworthy small businesses.
The initiative is a component of the Small Business Jobs Act that President Barack Obama signed into law in 2010.