Loan Participation Program

If you’re a bank, credit union, community development financial institution, revolving loan fund, or nonprofit lender, you may be eligible to participate in the Utah Small Business Credit Initiative Loan Participation Program (USBCI LPP).

The USBCI LPP purchases up to 50% of a small business loan to expand access to credit and lower blended interest rates for small business borrowers.

The program authorizes a network of Economic Development Organizations (EDOs) to manage a loan program on behalf of the state. These organizations partner with banks and credit unions (“Primary Lenders”) on a loan-by-loan basis to expand access to capital for small businesses. The program is structured to participate directly in a lender loan at a participation rate of up to 50%.

USBCI funding deployed by EDOs receives a low-interest rate and fee set by the state. The private funding deployed by the “Primary Lender” receives a market rate set by the lender. The borrower gets a blended interest rate between the going market rate and the state's low-interest rate.

Participating EDOs will be granted 50% of the funding they deploy when the program closes in 2030. This enables this program's low blended interest rate for borrowers. It also invests in Utah's gap financing ecosystem.

Program highlights:

  • Enables lenders to expand access to credit for small businesses.
  • Provides small businesses with interest rates and fees below market rates by combining low-cost public capital with private investment.
  • The EDO and Primary Lender partnership enables the program to help distribute capital to underserved communities and regions.

The USBCI LPP assists Utah businesses that need capital to stabilize, pivot, or expand their businesses.

Program Partners

“Economic Development Organizations (EDOs)” include CDFIs and qualifying economic development organizations with a revolving loan fund.

Apply to participate in the program and select the “USBCI Loan Participation Program Lender Application.” USBCI staff will review all applications and notify participants upon approval.

If approved, financial institutions will be asked to execute a USBCI LPP Master Agreement and adhere to the program’s terms and conditions before individual loan transactions are approved.

Apply before May 31, 2023.

“Primary lenders” include banks and credit unions. These partners are not required to apply to the program but must execute a USBCI LPP Master Agreement and adhere to the terms and conditions. To participate in the program, please get in touch with

Program Participation

The following resources are available to USBCI LPP-enrolled lenders.