With their own capital and with funds borrowed at favorable rates through the Federal Government, SBICs provide venture capital to small independent businesses, both new and already established. A Certified Development Company is a nonprofit corporation set up to contribute to the economic development of its community or region. CDCs work with the SBA and private-sector lenders to provide financing to small businesses. There are about 290 CDCs nationwide. Each CDC covers a specific area.
Approval focuses on character, credit and experience.
The MicroLoan Program was developed to increase the availability of very small loans to prospective small business borrowers. Completed applications can usually be processed by the intermediary in less than one week.