Small business loan aims to boost private sector in Kansas

6/23/2011

As part of an initiative created by the federal Small Business Jobs Act, Kansas will receive $13.2 million to help create jobs in the private sector, according to The Associated Press.

The funds were being awarded by the state's Small Business Credit Initative, and are intended to be matched with privately raised funds from small business owners.

"The program gives Kansas another tool to help us grow the economy and create jobs," Governor Sam Brownback said during the announcement.

Brownback added that the donation will leverage $132 million in private lending to help create jobs and qualify for loans from participating banks.

$10.5 million will be allocated to the Kansas Capital Multiplier Loan Fund, which provides support for entrepreneurs and existing small businesses across the state and offers matching funds through private lenders.

The remaining $2.6 million will be dedicated to the Kansas Capital Multiplier Venture Fund, which helps small businesses expand and aims to encourage capital investment in existing entrepreneurs.