LEXINGTON, Ky.– Governor Steve Beshear today announced a major small business initiative that will provide Kentucky’s small businesses with access to nearly $155 million in new loans to help with job creation across the state.
The Kentucky Small Business Credit Initiative involves three new small business programs implemented by the Kentucky Cabinet for Economic Development to facilitate increased private lending to Kentucky’s small businesses. The programs include: the Kentucky Capital Access Program; the Kentucky Collateral Support Program; and the Kentucky Loan Participation Program.
Gov. Beshear announced the initiative at the Coldstream Center, part of the University of Kentucky’s Coldstream Research Campus, in Lexington with lawmakers, business leaders and United States Treasurer Rosie Rios. The Coldstream Center houses 25 small businesses with more than 300 employees. Several of these businesses are recipients of federal small business grants.
“This program is great news for the Commonwealth and another critical step in the right direction toward improving the Kentucky economy,” Gov. Beshear said. “We want all of our families working, and we know small businesses are incubators for new jobs in our state. The small business credit initiative gives these small businesses an easier path to create those new positions. Economic development officials and business leaders deserve credit for working closely to establish the overall program.”
The increased access to capital stems from the state’s successful application for $15,487,998 in federal funds from the U.S. Department of Treasury through the State Small Business Credit Initiative (SSBCI). The funds, which will be leveraged 10-1 with private lender funds to generate almost $155 million, are part of the Small Business Jobs Act of 2010 passed in September 2010.
Under the Small Business Jobs Act, Kentucky can access $15.5 million in SSBCI funds. Kentucky expects to generate a minimum “bang for the buck” of at least $10 in new private lending for every $1 in federal funding. As such, this $15.5 million allocation for Kentucky is expected to support nearly $155 million in new private lending to small businesses in that state.
Economic Development Cabinet Secretary Larry Hayes filed the application on behalf of the Commonwealth. In planning the program, cabinet staff consulted with private lenders of all sizes, public-policy makers, Kentucky small business organizations, U.S. Department of Treasury officials and other states’ economic development officials.
“Based on our research of other states’ existing credit support programs and Kentucky’s small business programs, we anticipate these new programs will offer the broadest solution to the current credit issues facing Kentucky small business owners and entrepreneurs,” Hayes said.
The Kentucky Economic Development Finance Authority (KEDFA), a board established within the cabinet, has been designated to accept the $15.5 in funds and administer the new credit support programs.
“As one of the largest Kentucky-based community banks and a leading lender to small businesses, we are confident that the SSBCI programs will provide much needed capital to ensure continued growth opportunities for home grown businesses that play such an important role in communities throughout the Commonwealth,” said Steve Trager, chairman and CEO of Republic Bank.
“Kentucky Highlands Investment Corporation has worked closely with the cabinet for economic development on numerous projects to help attract, start and expand businesses,” said Jerry Rickett, president and CEO of Kentucky Highlands Investment Corporation. “These three credit enhancement programs developed within the Kentucky Small Business Credit Initiative are sure to improve many entrepreneurs’ ability to access funding, grow their operations and hire workers. We fully support the Kentucky SSBCI programs and applaud the governor and the cabinet for economic development for their hard work in applying for these funds.”
“The Kentucky Small Business Development Center works side by side with entrepreneurs across our Commonwealth and understands the challenges that they are having when it comes to acquiring the funding necessary to grow operations and hire workers,” said Becky Naugle, state director of the Kentucky Small Business Development Center. “With that in mind, we look forward to working closely with the cabinet for economic development and are very pleased to support the new credit enhancement programs developed within its Kentucky Small Business Credit Initiative.”
“These funds will provide a powerful spark for investment, growth, and job creation in Kentucky,” Treasurer Rios said. “This initiative will help ensure that more Main Street small businesses have access to the loans they need to expand, invest, and hire in their local communities.”
Program Part of Continued Effort to Support Small Businesses
The initiative is the latest of several recent small business programs implemented by Gov. Beshear’s administration. In January 2011, KEDFA began accepting applications through the Kentucky Small Business Investment Tax Credit program, part of the Governor’s 2009 INK legislation. Additionally, the Governor’s Kentucky Export Initiative, launched in late 2010, is helping to increase exporting activity among Kentucky small and medium-sized businesses. Gov. Beshear also recently launched Kentucky’s first Minority and Women Business Enterprise Certification Program, as well as unveiled a specialty license plate promoting Kentucky small business.
The One-Stop Business Portal is also in development, which will provide small businesses with one resource for starting and running a business in the Commonwealth. In order to make all of these programs effective, the governor has tasked the cabinet to partner with private and public sector small business assistance agencies across the Commonwealth to assure a consistent and comprehensive network that will meet small business needs.
“We must continue to look for ways to encourage the growth and stability of small business,” said Sen. Alice Forgy Kerr, of Lexington. “I know small businesses are the lifeblood of Kentucky. By strengthening them, we can keep jobs in Kentucky and recruit more jobs to our state.”
“Gov. Beshear is working hard to guide Kentucky through these tough economic times,” said Rep. Ruth Ann Palumbo, of Lexington. “These monies will provide millions of dollars for small businesses to create new jobs in our Commonwealth.”
“As a longtime advocate for small business, I can see this initiative helping to create jobs all over Kentucky,” said Rep. Tanya Pullin, of South Shore. “This announcement could not come at a better time for small business. I want to thank U.S. Treasurer Rosie Rios, Gov. Beshear and the Kentucky Cabinet for Economic Development for their attention to small businesses. Today’s announcement will long be remembered as a high point for small business job creation.”
For further information about the State Small Business Credit Initiative, visit http://www.ustreas.gov/offices/domestic-finance/ssbci/ .
LEXINGTON, Ky. – In anticipation of the many business opportunities that could stem from the construction of a new federal prison in Roxana, the Kentucky Small Business Development Center, in partnership with Letcher County Fiscal Court, is sponsoring When Opportunity Knocks, a luncheon and resource fair from 11 a.m. to 1 p.m. EDT June 22 at the Pine Mountain Grill in Whitesburg.
During lunch, local business owners will share how they answered the knock of opportunity and found success. The event is free and seating is limited; preregistration is required. Reservations can be made online at http://tinyurl.com/j9rdjtf .
At the event, organizers will discuss a three-part series of training events. Series topics will include general business and government contracting. The first event will take place 6 p.m. Tuesday, July 12 at the Whitesburg campus of Southeast Kentucky Community and Technical College. Training will also take place at 6 p.m. July 26 and August 9. Prior to each training event, a resource fair will begin at 4 p.m.
For more information, visit http://www.ksbdc.org/moving-forward-letcher-county or email Shawn Rogers at email@example.com .
KSBDC, part of the University of Kentucky College of Agriculture, Food and Environment, is a network of 13 offices located throughout the state. The center helps existing and start-up businesses succeed by offering high quality, in-depth and hands-on services. KSBDC is a partner program with the U.S. Small Business Administration. For more information on KSBDC services, visit their website, http://www.ksbdc.org/ .
Other partners include: Kentucky Small Business Development Centers at Pikeville and Ashland, Southeast Small Business Development Center, Small Business Administration, Southeast Kentucky Community and Technical College, Kentucky Procurement Technical Assistance Center, Southeast Kentucky Economic Development, Kentucky Highlands Investment Corporation, Mountain Association for Community Economic Development, Kentucky Innovation Network – Pikeville , Kentucky River Area Development District, Eastern Kentucky Concentrated Employment Program, Federation of Appalachian Housing Enterprises Inc. and Kentucky Finance and Administration Cabinet – Minority and Women Business Enterprise Certification.
LEXINGTON, Ky., (May 3, 2016) - Kentucky’s finest small businesses and the small-business community were celebrated in the Capitol Rotunda in Frankfort during Kentucky Celebrates Small Business, an awards ceremony presented by the Kentucky Small Business Development Center and the Kentucky District Office of the U.S. Small Business Administration May 3.
Gov. Matt Bevin opened the awards ceremony by signing a proclamation recognizing National Small Business Week in the state.
"The vibrant entrepreneurial spirit in the commonwealth is a fundamental force driving Kentucky's economy and creating valuable jobs for our communities," Bevin said. "I understand, from personal experience, the sacrifice it takes for small business owners to survive. Every day they strive anew to secure a better life for their customers, their employees, their families and themselves. I am grateful to these men and women across Kentucky for taking the risk necessary to succeed."
WLEX-18 chief meteorologist Bill Meck served as emcee, along with his wife, Connie, whose small business, Sign Language Network of Kentucky, provided sign language interpretation for the event.
The Kentucky Small Business Development Center presented Kentucky Pacesetter awards to six businesses. Winners were chosen based on how they are changing Kentucky’s economic landscape by introducing innovative products, increasing sales and/or production, boosting employment and serving their communities.
This year’s outstanding Kentucky Pacesetters are D&D Shoe Company, Mayfield; Ingram Brothers, LLC, Morgantown; JSB Industrial Solutions, Inc., Tollesboro; Maynard Studios, Inc., Lawrenceburg; Trunnell’s Farm Market & Family Fun Acre, Utica; Flavorman and Distilled Spirits Epicenter, Louisville.
“We owe so much to the small businesses across the commonwealth that make our economy strong and diverse. It is a pleasure to recognize them and say thank you,” said Becky Naugle, KSBDC state director.
Each year, the U.S. Small Business Administration recognizes outstanding small businesses and entrepreneurs with awards across the country. The Small Business Person of the Year winner from each state will be acknowledged at both regional and national levels.
The 2016 Kentucky Small Business Administration award winners are:
Kentucky Small Business Person of the Year: David Dafoe, founder and CEO of Flavorman and Distilled Spirits Epicenter, Louisville
Kentucky Southeast Region 8(a) Graduate of the Year: Kathy Mills, president and CEO of Strategic Communications, Louisville
Kentucky Financial Services Advocate of the Year: Bill Fensterer, president and CEO of Capital Access Corporation, Louisville
Kentucky Minority-Owned Small Business of the Year: Harsha Wijesiri, president of Integrated Engineering, LLC, Lexington
Kentucky Veteran-Owned Small Business of the Year: Scott Matheny, president of Semper Tek, Lexington
Kentucky Woman-Owned Small Business of the Year: Desiree Sloan Harmon, founder and owner of Club Fit Studio, LLC, Paintsville
“The creative genius that drives our commonwealth forward lives in the minds of our entrepreneurs. This year we are honoring entrepreneurs from the far corners of Kentucky. We are deeply grateful for what they have done to sustain the economic vitality of large and small communities,” said Ralph Ross, district director of the Kentucky office of the U.S. Small Business Administration. “We are also grateful for our local, state and federal partners who work with us to help these entrepreneurs along their way.”
The Kentucky Small Business Development Center, part of the University of Kentucky College of Agriculture, Food and Environment, is a network of 13 offices located throughout the state. The center helps existing and start-up businesses succeed by offering high quality, in-depth and hands-on services. KSBDC is a partner program with the U.S. Small Business Administration. More information on KSBDC services can be found on their website, http://www.ksbdc.org/ .
Writer: Roberta Meisel, 859-257-0104
UK College of Agriculture, Food and Environment, through its land-grant mission, reaches across the commonwealth with teaching, research and extension to enhance the lives of Kentuckians.