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Hogan announces Small Business Relief package

May 19th, 2022 by WCBC Radio

Gov. Larry Hogan has announced Maryland will deploy up to $198 million in federal small business relief through the State Small Business Credit Initiative.

"Through a number of relief programs, our efforts to keep Maryland 'open for business' during the pandemic have protected jobs and empowered one of the strongest and sustainable recoveries in the nation,” Hogan said in a news release. “We have one of the most aggressive plans in the country to get these resources out the door utilizing our very successful lending and investment programs to help our small businesses, particularly those in underserved communities primed for revitalization.”

The news also states that Maryland was the first state in the nation to submit its SSBCI deployment plan to the United States Treasury Department, and today was one of the first five states to be approved.

Maryland Department of Housing and Community Development will receive up to $103 million and disburse the funds through the Neighborhood BusinessWorks program.

The program provides financing to new and expanding small businesses impacting and operating within Maryland's designated Opportunity Zones, Priority Funding Areas and Sustainable Communities and Community Development Financing Institution Investment Areas, often through partnerships with local and national CDFIs.

The Maryland Department of Commerce will receive up to $45 million for the Maryland Small Business Development Financing Authority (MSBDFA) program.

MSBDFA is now available to small businesses that are unable to obtain adequate business financing on reasonable terms. In particular, the program has become a well-established resource to support the growth of minority and women-owned businesses through a network of government agencies, local economic development organizations, banks, and private equity companies, as well as numerous business associations, chambers of commerce and local professionals.

Maryland Technology Development Corporation will receive up to $50 million and will allocate the funds to four existing programs targeting technology-based Maryland businesses and entrepreneurs.

Three programs—the Venture Equity Fund, Venture Capital Limited Partnership Equity program and Seeds Funds Equity program — are primarily focused on venture capital and startup funding.