Capital Creates Opportunities
In just 10 months , West Virginia Jobs Investment Trust ( WVJIT ) has facilitated 24 transactions through the West Virginia Capital Access Program ( WVCAP ), a capital program made possible by the State Small Business Credit Initiative ( SSBCI ). These transactions total more than $ 10 million of a $ 72.1 million allocation . The program helps businesses and entrepreneurs receive the capital needed to launch or expand . Thanks to the partnership of five other entities , the transactions have been faster than anticipated , with several closings .
“ WVJIT is the program manager of the SSBCI / WVCAP . As such , it partnered with five other entities to provide access to the funds to lend to companies . WVJIT has closed three of those transactions ,” says Michele O ’ Connor , senior investment manager of WVJIT . “ The program has approved over $ 10 million in federal funds which are being matched to over $ 20 million in private funding . Not all of the 24 transactions that have been approved have closed and funded . As of June 2023 , 13 transactions had closed .”
The application for SSBCI 2.0 was approved by the U . S . Department of the Treasury in May 2022 , allowing the program to officially launch in September 2022 . The rapid approval of SSBCI 2.0 was due to the success of SSBCI 1.0 , which included an allocation of $ 13.1 million in 2011 . Since WVJIT received its first tranche of funding and launched the program , it has actively promoted , lent and invested with and through program partners .
Each of the five partners — The Center for Rural Health Development , Inc ., Woodlands Community Lenders , Wyoming County EDA , Regional Economic Development Partnership and Partner Community Capital — have helped drive the latest success of the WVCAP .
“ Each of the program partners knows their customers and can provide better access to capital to their area and region . They know the needs of their borrowers and can provide the support those borrowers need ,” O ’ Connor says .
Thanks to collaborative partnerships and increased funding through SSBCI 2.0 , the WVCAP has benefitted a broad spectrum of industries . Out of the completed transactions thus far , industries represented include retail , manufacturing , outdoor recreation , food processing , convenience and grocery stores , medical technology , energy , broadband and tourism .
“ Cultivating economic growth and empowering entrepreneurs has always been at the heart of WVJIT ’ s mission . While the funds provided through the WVCAP greatly benefit our state , they merely reinforce our unwavering commitment to serving and investing in the talented entrepreneurs of West Virginia . Succeeding in this mission requires deep integration with a broad network of critical resource providers , educators , investors and lenders ,” says Nathan Polk , investment analyst of WVJIT . “ By working weekly at West Virginia University ( WVU ) and engaging with entrepreneurial organizations like the WVU Morris L . Hayhurst LaunchLab and Vantage Ventures , I consistently witness the power of these relationships and communication channels to produce investment opportunities and multiply our efforts . As the WVCAP progresses , I eagerly anticipate developing more of these connections and fueling the success stories that continue to shape our state ’ s vibrant business landscape .”
Further investing in and empowering the state ’ s entrepreneurs has been the mission and the result so far for the WVCAP .
“ The Wyoming County EDA envisions WVCAP will assist our organization to further invest in entrepreneurs . Most of our small business loan programs have been truly revolving programs for the last 15 years and we often run low on available funding ,” says Christy Laxton , executive director of the Wyoming County EDA . “ As soon as funds come back in from a loan , those go back out to another business in West Virginia . WVCAP will allow us the opportunity to have additional capital for entrepreneurs across the state to make more deals happen . ”
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