Entrepreneur Center
NASBIC is committed to meeting the needs of the association's members and building, maintaining, and promoting a strong and profitable SBIC industry.
Hand-in-hand with that commitment is the association's dedication to promoting the success of America's small businesses.
NASBIC Member SBICs . . .
. . . can provide essential financing when other sources are unavailable. Small companies often lack the hard assets necessary to support conventional bank loans. Their capital needs are also relatively small yet require a longer term. SBICs typically provide financing in the $250,000 to $5 million range¾a sorely under-served market niche.
. . . are catalysts for other sources of funding. An SBIC’s confidence in a small company often leads to investments or credit lines from other financing sources. In the case of office supply giant Staples, the 1987 investment of $1.5 million from First SBIC of California enabled the company to expand from a single store to five stores and drew the attention of larger venture capital firms.
. . . invest more diversely. Venture capital investments are often associated with the highly publicized technology companies. SBICs do invest in emerging technologies, but they also seek investments in less glamorous industries like manufacturing, retail trade, transportation, and communications. Over half of the SBIC industry’s investments have been in companies located around the country, outside the traditional venture capital strongholds of Boston’s Route 128 and Silicon Valley.
. . . provide valuable counsel in all aspects of business management. Because SBICs invest for the long term and are prohibited from taking control of a company, the company’s management and the SBIC’s management share a common goal, to grow and prosper.
Please use the Entrepreneur Center to:
Note: NASBIC does not provide financing or financial advice to small businesses. The association does, however, offer guidance on locating and contacting an SBIC or an appropriate office within the U.S. Small Business Administration.
