New Initiative Looks to Support Smallest of California Small Businesses
27 Aug 2020
The Governor’s Office of Business and Economic Development (GO-Biz) announced the California Rebuilding Fund, a new public-private partnership that will leverage government backed capital to support California’s small businesses – especially the smallest under-served firms and entrepreneurs from communities that have been historically disenfranchised.
The initiative was approved during the California Infrastructure and Economic Development Bank’s (IBank) August board meeting. Prior to the approval, the State of California allocated $25 million and new statutory authority to IBank to enable a collaboration with the state’s private sector. This public-private partnership will in turn drive capital to Community Development Financial Institutions (CDFIs) and other mission-based lenders that provide much-needed loans to California’s underbanked small businesses. With the support of this new IBank funding, California’s CDFIs increase their capacity to help small businesses recover and reposition themselves to survive the realities of the COVID-19 marketplace.