Financing and Capital for Small Businesses
The Governor’s Office of Small Business Assistance works closely with a variety of partners to facilitate small businesses accessing capital. Key funding sources include:
U.S. Small Business Administration
The U.S. Small Business Administration (SBA) provides counseling, capital and contracting expertise. It offers loans and training to help small businesses to grow and optimize opportunity. It also provides disaster loans during times of crisis. The SBA has six offices in Texas. For more information, please visit the below links to each district office:
Community Development Financial Institutions (CDFIs) are non-profit lenders. They offer favorable terms, such as low interest rates, as well as advice, mentoring and workshops. They focus on lending to disadvantaged businesses and entrepreneurs. Some non-profit lenders in Texas include:
Find your nearest CDFI using the online locator.
Texas Workforce Training Grants
The Texas Workforce Commission (TWC) offers the Skills for Small Business grant. This supports businesses with fewer than 100 employees and incentivizes training for new, full-time workers. Support is also available to upgrade the skills of existing full-time workers. Training is provided through community or technical colleges, or the Texas Engineering Extension Service (TEEX).
Grants.gov catalogs federal grants and provides additional information for those interested in applying. Some grant providers require applicants to register on The System for Award Management (SAM). For research and development focused businesses, the Small Business Innovative Research and Small Business Technology Transfer Funding programs may be of interest.
United States Department of Agriculture (USDA)
USDA’s business programs provide financial backing and technical assistance to stimulate rural business creation and growth. Loans, loan guarantees and grants are available to individuals, businesses, cooperatives, farmers and ranchers, public bodies, non-profit corporations, Native American Tribes and private companies in rural communities. For more information, please visit the USDA website.
SCORE provides excellent information on financial management for small businesses and many templates for cash-flow spreadsheets and projections. You can also get a SCORE mentor, at no cost, to help you with business challenges.
The SBA also offers a guide on advice and tools for managing business finances.
Product Development and Small Business Incubator Fund
The Product Development and Small Business Incubator Fund (PDSBI) is a program offering long-term, asset-backed loans to product development companies, specifically in manufacturing. The primary objective of the program is to aid in the development, production and commercialization of new or improved products in the state.
For information on resources and funding available to small businesses affected by the COVID-19 crisis, visit our Coronavirus webpage.