Texas Governor Greg Abbott today announced $50 million in loans to help small businesses during the coronavirus pandemic. In a media briefing, Abbot said the Governor’s office has partnered with Goldman Sachs and the LiftFund, along with other community development institutions on the initiative.
“What small businesses need most at this time is an economic lifeline and an infusion of capital, as they prepare to return to business,” Abbott said.
Gov. Abbot said the new program is designed to keep small businesses up and running by giving them access to the capital that they need to maintain their payrolls.
“We want to make sure that these small businesses are not going to have to shut down and, more importantly, they’re not going to have to eliminate payrolls for the employees simply because business is required to either be closed or drastically limited as a result of our efforts to prevent the spread of the coronavirus in the state of Texas,” Abbott said.
“We all agree that we want Texans on payroll, not laid off. These PPP loans will ensure that … those employees in Texas will remain hired.”
Loans will be distributed in Texas through the SBA payroll protection program and could be partially, or entirely, forgiven if certain criteria are met.
Gov. Abbot was joined by Janie Barrera, founding president and CEO of LiftFund, an organization that assists small businesses through public and private partnerships, and John Waldron, president and COO of investment bank Goldman Sachs. Goldman Sachs, which launched its 10,000 Small Business program in 2009 to help entrepreneurs create jobs and economic opportunity, brought its program to Texas in 2011.
“These [small] businesses are the foundation of Texas and the economy—and the bedrock of your communities. But in a crisis of this magnitude, this foundation is clearly at risk.” Waldron said. “That is why today we have announced a commitment of $50 million for loans to small businesses across Texas to continue our long-standing support of this vital engine of Texas economic growth and employment.”
Waldron pointed to a $550 million dollar national commitment that Goldman Sachs recently announced to aid small businesses and communities suffering through the coronavirus crisis package. “That includes $500 million in emergency small business loans and $25 million in grants to CDFIs like the LiftFund and other mission-driven lenders around the country, as well as a $25 million grant to support those communities most affected by the virus, including front line workers in Texas,” he said.
Gov. Abbott also said more on strategies to reopen Texas businesses — safely— could be expected later this week. Abbot noted that the state was focusing on protecting lives while also restoring people’s livelihoods.
For more information
Applications for the new program will be going live today at LiftFund.
Get on the list.
Dallas Innovates, every day.
Sign up to keep your eye on what’s new and next in Dallas-Fort Worth, every day.