USBCI for Small Businesses

The Utah Small Business Credit Initiative (USBCI) offers loans with a target size of $25,000 to $3 million to Utah small businesses through two lending programs: a Capital Access Program and a Loan Participation Program.

Each program plays a unique role in providing capital to Utah small businesses. This webpage contains the following sections to help small businesses learn about these programs:

Which program is right for my small business?

USBCI helps expand access to credit and lower rates for small business borrowers. It consists of two programs: a Capital Access Program and a Loan Participation Program. The two programs have different structures and advantages for Utah small businesses.

Small businesses may be interested in a particular program. However, the lender will decide which program best fits them.

Capital Access Program (CAP)

Provides lenders with loss protection that helps them fund projects that usually wouldn’t receive funding.

  • Target loan size of $25,000 - $250,000
  • Most accessible program
  • Average term of 3-5 years
  • Market rates

Loan Participation Program (LPP)

Covers purchases up to half of a small business loan from a lender (up to $1 million). The state-owned portion of the loan is assigned a low-interest rate that swings market rates down. This low-interest rate is fixed between 1-3%.

  • Target loan size of $250k+
  • Great for growth-stage businesses
  • Average term of 3-5 years
  • Low blended interest rate

Frequently Asked Questions

View the list of USBCI frequently asked questions here.

Program Requirements

Eligible Borrowers

  • Utah-based small businesses and nonprofits with under 500 employees

Eligible Loans

  • Loans may be used for a business purpose, including but not limited to start-up costs; working capital; franchise fees; and acquisition of equipment, inventory, or services used in the production, manufacturing, or delivery of a business’s goods or services. Funds may also be used for the purchase, construction, renovation, or tenant improvements of an eligible place of business, not for passive real estate investment purposes. 
  • Loans may not be used for passive real estate.

Program Requirements

Businesses must apply through an enrolled lender to participate in the USBCI. Because this program works with lenders’ private capital, it reduces but does not eliminate traditional lending requirements. Program requirements include:

  • Business plan/intended use
  • Financial projections
  • Tax returns
  • Collateral
  • Business and personal credit scores
  • USBCI Certifications (listed below)

USBCI-enrolled lenders will work with borrowers individually to evaluate their eligibility for USBCI programs.

How to Apply

Find a USBCI-enrolled Lender

To apply for a USBCI program, select a lender from the USBCI-enrolled Lender List. USBCI defines a lender as a bank, credit union, community development financial institution, or economic development organization with a revolving loan fund.

When you’ve selected a lender, let them know you’re interested in applying for a USBCI loan.

Borrower Application

Next, work with your lender to submit a USBCI Borrower Application. Documentation includes a loan application through the lender, along with the following USBCI notices and certifications: 

If Approved

If you’re approved for a USBCI loan, you’ll need to complete additional forms before closing the loan:

Please note that these forms are not included in the initial application. Demographic information is only collected after the loan is approved. This process ensures all USBCI loan evaluations are fair and equitable.

USBCI Office Hours
To learn more about the Utah Small Business Credit Initiative, please join us for USBCI office hours every Monday at 2 p.m.