TURNING VISIONS INTO VENTURES
THE WVCAP IMPACT
Through State Small Business Credit Initiative( SSBCI) funding, the West Virginia Capital Access Program( WVCAP) has been helping small businesses of all industries, sizes and locations secure funding to succeed and drive meaningful economic progress throughout the state.
Initial funding can be difficult for aspiring businesses to secure, but WVCAP— established by the West Virginia Jobs Investment Trust( WVJIT)— can help secure capital without the need for extensive experience or collateral, providing them with options that help attract private investors and institutions.
WVCAP’ s different funding programs help provide businesses with the exact type of assistance they need. These programs include the WVCAP Seed Capital Co-Investment Fund, which helps businesses advance intellectual capital; Subordinated Debt Fund, which helps businesses purchase equipment, expand facilities or obtain permanent working capital; Collateral Support Fund, which helps businesses augment collateral and extend their credit; and Technical Assistance Fund, which provides comprehensive business support to WVCAP applicants and portfolio companies.
“ The combination of funding programs that WVCAP offers can target industry-disrupting enterprises raising millions of dollars, while also assisting mom and pop shops on Main Street,” Courtney Lewis, executive assistant for WVJIT, says.“ This dynamic nature of the program contributes to a robust and diversified economic environment in West Virginia.”
Borrowers access WVCAP funding through its program participants, which include Partner Community Capital, Regional Economic Development Partnership, The Center for Rural Health Development, The Wyoming County Economic Development Authority and Woodlands Community Lenders for loans and
The High Technology Consortium Foundation through INNOVA Commercialization Group and WVJIT for venture capital.
As many entrepreneurs do not fit into traditional lending models, WVCAP partners with community banks to create terms that serve both the bank and client.
“ We highly value the relationships we’ ve built with all our banking partners, especially the community and regional banks,” says Ben Adkins, investment analyst for WVJIT.“ Our regional and community banking partners help further our agencies’ mission by using WVCAP funding to make local investments in our local communities.”
In 2022, SSBCI 2.0, which received $ 72.1 million, was utilized to launch WVCAP 2.0 to help further strategic loans and investments to assist West Virginia small businesses. So far, the WVCAP 2.0 program has successfully closed transactions in 28 counties. However, it aims to eventually serve all 55 counties and believes it can do so through its program participants.
“ Our team does what we can to travel throughout the state to meet local entrepreneurs, but our program participants are the boots on the ground in each of their communities,” Kelli Poling, investment manager for WVJIT, says.“ They’ re actively working with people in their neighborhoods and seeking out ways the WVCAP can positively impact their local economy.”
With each transaction, WVCAP helps a small business turn their vision into reality. Through the program, more employment opportunities are being created in the state and more Appalachians are putting their unique talents to work.
To apply to or learn more about the WVCAP program, visit https:// wvjit. wv. gov / wvcap /.