Essential info for banks, other financial institutions and equity funds participating in – or seeking to participate in – the Louisiana SSBCI program

Download the Collateral Support Application Download the Loan Guaranty Application

SSBCI is not a government grant program that provides funds directly to businesses. It is an economic stimulus program that uses federal dollars to leverage private investment in existing and start-up businesses. 

LED acts as a bridge or conduit between the U.S. Treasury, financial institutions and the entrepreneurs and small businesses they serve. 

The program’s ultimate success relies on the active participation of program providers like you.

Help LED better support your efforts by emailing your general program questions to We’ll continuously update this page with answers to your frequently asked questions.

  • How can I participate in SSBCI’s Collateral Support (CSP) and Loan Guaranty programs? Caret Down

    Any insured depository bank, insured depository credit union or insured depository community development financial institution in the state may participate in the Louisiana SSBCI’s Collateral Support Program (CSP) and Small Business Loan Guaranty Program (SBLGP) by opting in.

    Lenders seeking more information about CSP participation may contact LED by emailing

    Lenders seeking more information about SBLGP participation may contact LED by emailing

  • How do I become an LED Preferred Lender? Caret Down

    LED Preferred Lenders are loan program participants who have completed the registration process, entitling them to receive additional promotional support on LED’s digital platforms. Become an LED Preferred Lender by downloading the online application here.

  • How can I participate in the Micro Lending, Seed Capital and Venture Capital programs? Caret Down

    Participation in the Micro Lending, Seed and Venture Capital programs requires completion of an RFQ (Request for Qualifications) process and approval by the Louisiana Economic Development Corporation (LEDC) Board of Directors. Applicants are evaluated on a variety of criteria, including location. 

    In response to the initial program RFQ, six lenders were approved for the Micro Lending Program and more than 20 funds were approved for the Seed and Venture Capital funds. 

    Program participation remains an open process, with future RFQ’s anticipated. No new RFQ’s have been scheduled at this time. Funds wishing to participate in SSBCI equity programs should sign up for small business email updates by clicking here.

    As new funds and lenders are accepted into the program and grant LED permission to promote their participation, their contact information and website links will be added to the Micro Lending and Equity Programs pages of this website. 

    For more information about becoming an LEDC-approved Micro Lender or equity program participant, email

  • Does the lender use their internal application and forms or does LED have a Micro Loan Program application and forms to provide? Caret Down

    Participating lenders will use the LED Micro Loan Enrollment Application. Lenders interested in participating in the Micro Loan Program must undergo the RFQ process and be approved by the LEDC Board of Directors.

  • Are lenders allowed to make exceptions to their credit policies on SSBCI MLP loan transactions? Caret Down

    Yes, lenders can make exceptions to their usual credit policies, so long as the exceptions are reasonable and do not violate any of LED or U.S. Treasury SSBCI guidelines. For example, the exceptions cannot waive the LED collateral requirement for loans over $50,000 or rules regarding use of a personal residence as collateral.

Micro Lending Provider FAQs

Seed and Venture Capital Provider FAQs

  • Does the equity provider use its internal application process or does LED provide application forms? Caret Down

    The participating providers will use their own process to perform due diligence. Providers interested in participating in either the Louisiana Seed Capital Program or the Louisiana Venture Capital Program must complete the RFQ process and be approved by the Louisiana Economic Development Corp board.

  • How are start-ups defined? Caret Down

    Typically, start-ups are defined as a business in the early stages of operations (less than three years). A listing of eligible and ineligible business types can be found in the LED SSBCI program rules.

  • What types of business activities are ineligible? Caret Down

    Ineligible business activities in the LED SSBCI programs may include, but are not limited to:

    • Speculative real estate
    • Lending activities
    • Pyramid sales
    • Activities prohibited by federal law or local jurisdiction
    • Gambling
    • Bars
    • Refinancing
  • What is an acceptable eligible business purpose? Caret Down

    According to the U.S. Treasury SSBCI Capital Program Guidance, an acceptable eligible business purpose includes, but is not limited to, start-up costs, working capital, business procurement, franchise fees, equipment or inventory, as well as the purchase, construction, renovation or tenant improvements of an eligible place of business that is not for passive real estate investment purposes.

  • What types of businesses are eligible to participate? Caret Down

    Eligible business types that may qualify for the LED SSBCI programs are entities that have an eligible business purpose and are structured as one of the following:

    • For-profit corporation
    • Limited liability company
    • Partnership
    • Joint venture
    • Sole proprietorship
  • What is a Socially & Economically Disadvantaged Individual (“SEDI”) owned business? Caret Down

    As defined by the U.S. Treasury SSBCI Guidance, SEDI is any of the following:

    • Business enterprises that certify that they are owned and controlled by individuals who have had their access to credit on reasonable terms diminished as compared to others in comparable economic circumstances, due to their membership of a group that has been subjected to racial or ethnic prejudice or cultural bias within American society; gender; veteran status; limited English proficiency; physical handicap; long-term residence in an environment isolated from the mainstream of American society; membership of a federally or state-recognized Indian tribe; long-term residence in a rural community; residence in a U.S. territory; residence in a community undergoing economic transitions (including communities impacted by the shift towards a net-zero economy or deindustrialization); or membership of another “underserved community” as defined in Executive Order 13985;
    • Business enterprises that certify that they are owned and controlled by individuals whose residences are in CDFI Investment Areas, as defined in 12 C.F.R. § 201(b)(3)(ii);
    • Business enterprises that certify that they will operate a location in a CDFI Investment Area, as defined in 12 C.F.R. § 1805.201(b)(3)(ii); or
    • Business enterprises that are located in CDFI Investment Areas, as defined in 12 F.R. § 1805.201(b)(3)(ii).


  • How is Very Small Business (VSB) defined? Caret Down

    As defined by the U.S. Treasury SSBCI Guidance, a VSB is a business with fewer than 10 employees at the time of the transaction and includes independent contractors and sole proprietors.