Loan Guarantee Program.

IBank’s Small Business Finance Center features a loan guarantee program designed to assist small businesses that experience capital access barriers. The Small Business Loan Guarantee program encourages lenders to provide funds to small businesses to help them grow and prosper.

Originally known as the Small Business Loan Guarantee Program (SBLGP), the SBFC received seed money in 1968 in an effort to reduce unemployment by supporting entrepreneurship and small businesses. The Finance Center promotes statewide economic development by increasing opportunities for entrepreneurs, the self-employed, microbusiness and small business owners to have better access to capital and other technical resources.

The Small Business Loan Guarantee program helps businesses create and retain jobs, and encourages investment in low- to moderate-income communities. The Small Business Loan Guarantee program is available to small businesses throughout the state of California and serves hundreds of small businesses each year.

384,000.

Jobs created or retained because of the financing supported by loan guarantees.

$509.6 million.

Overall capital injected into the state’s small business community last fiscal year through loans guaranteed by IBank.

20,000.

The number of loans guaranteed by the SBFC Loan Guarantee program since the early 2000s.

View our Small Business Profiles.

IBank’s Small Business Finance Center supports communities throughout California by providing loan guarantees, Jump Start loans, disaster relief financing and more. Small businesses provide jobs in every region of the state and are a vital contributor to the economy. Check out some of the businesses that have used SBFC programs.

View our Small Business Profiles.

IBank’s Small Business Finance Center supports communities throughout California by providing loan guarantees, Jump Start loans, disaster relief financing and more. Small businesses provide jobs in every region of the state and are a vital contributor to the economy. Check out some of the businesses that have used SBFC programs.

Frequently Asked Questions.

Small Business Loan Guarantee Program.

Q: Who Qualifies for Small Business Loan Guarantee program financing?

A: Eligible applicants include small businesses with 1-750 employees. Credit qualifications are based on lender criteria.

Q: How many loans were guaranteed through the Small Business Loan Guarantee program in fiscal year 18-19?

A: 579 loans were guaranteed in fiscal year 18-19 by the Small Business Loan Guarantee program.

Q: How many jobs were created or retained in fiscal year 18-19?

A: 15,780 jobs were created or retained in fiscal year 18-19.

Q: Who processes the loan guarantees?

A: One of seven Financial Development Corporation (FDC) partners throughout the state can help provide technical assistance as well as process loan guarantees for qualifying small businesses. IBank’s partner FDCs collectively have more than 1,130 years of lending expertise on staff and more than 525 years serving the SBFC directly.

Q: What are some eligible uses of the Small Business Loan Guarantee program financing proceeds?

A: Eligible uses of the Small Business Loan Guarantee program financing proceeds include start-up costs, construction, inventory, working capital, business expansion, agriculture, lines of credit and more.

Q: What is considered a small business?

A: The business must have between 1-750 employees and be established as an entity including:

Sole Proprietor – Individual using legal name as business name that files a Schedule C, Schedule F, or has a fictitious business name or DBA statement If the loan appears to be in the name of an individual, evidence of Sole Proprietorship will be required and may include a Schedule C, Schedule F, Seller’s Permit, and/or fictitious business name or DBA statement Limited Liability Company Cooperative Corporation Partnership S-Corporation Not-for-profit.

We will not accept an individual as the borrower. It is permissible for an individual to be a guarantor or co-borrower on the loan, but the primary borrower must be a small business. We do not consider citizenship or immigration status for eligibility requirements, as long as the entity/individual meets the above criteria. Trucking owner/operators are eligible as long as they are registered as a legal business entity.

The business activity must be eligible under the program and in one of the industries listed in the North American Industry Classification System (NAICS) codes list.