Washington, Sept. 22, 2020 (GLOBE NEWSWIRE) -- Thirty organizations across the United States that assist disadvantaged entrepreneurs are set to receive nearly $5.5 million in grants from the U.S. Small Business Administration’s Program for Investment in Micro-Entrepreneurs (PRIME). These nonprofit organizations help low-income entrepreneurs gain access to capital to establish and expand their small businesses.
This year, the SBA placed emphasis on projects that will offer training and technical assistance to strengthen economically disadvantaged businesses, particularly those that service entrepreneurs in Opportunity Zones, rural areas, and HUBZones.
“Capital is king for any aspiring or current entrepreneur, and the SBA is committed to providing critical funding to small businesses,” SBA Administrator Jovita Carranza said. “Retaining jobs – and creating new ones – is essential this year, and we are proud to award this year’s PRIME grants to assist entrepreneurs with the necessary training to create thriving sustainable businesses.”
This year’s 30 recipients come from 19 states and the District of Columbia, and 23 of the recipients are in Opportunity Zones. President Trump signed legislation creating Opportunity Zones in 2017 to spur new capital investment in America’s economically distressed communities. Nearly 9,000 communities in all 50 States, the District of Columbia, and five territories have been designated as Opportunity Zones.
The PRIME grants range from $75,000 to $250,000, and typically require at least 50 percent in matching funds or in-kind contributions. In total, over 120 organizations applied for PRIME grants for 2020.
PRIME was created by Congress as part of the Program for Investment in Microentrepreneurs Act of 1999. Grant funds will be made available on September 30, 2020, and the project period for each grant is one year.
For more information on the SBA’s PRIME grants and a list of this year’s grantees, go online to www.sba.gov/content/prime-grantees.
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About the U.S. Small Business Administration
The U.S. Small Business Administration makes the American dream of business ownership a reality. As the only go-to resource and voice for small businesses backed by the strength of the federal government, the SBA empowers entrepreneurs and small business owners with the resources and support they need to start, grow or expand their businesses, or recover from a declared disaster. It delivers services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit https://www.sba.gov.
About Opportunity Zones
Opportunity Zones provide a tax break in which investors can use capital gains to support long-term economic development in nearly 9,000 designated low-income communities across the country. An Opportunity Zone is an economically-distressed community where new investments, under certain conditions, may be eligible for preferential tax treatment. Localities qualify as Opportunity Zones if they have been nominated for that designation by the state and that nomination has been certified by the Secretary of the U.S. Treasury via his delegation of authority to the Internal Revenue Service.