The Obama administration has hewed to one particular theme during the rollout of Startup America, its new plan to boost high-growth startups: No new taxpayer funds will be deployed. In other words, Startup America is nothing like the 2008 $700 billion bailout of banks or the $787 billion economic stimulus.
Look closely and there is a $2 billion dollar program here. As part of Startup America, the Obama administration is revamping a 52-year old program that has historically matched funding raised by venture capital firms: the Small Business Investment Companies (SBICs). Through Startup America, the Small Business Administration will guarantee $2 billion in loans over 5 years that will match funds raised by venture capital firms.
To read the full, original article click on this link: Startup America: A Venture Capital Bailout? - Maureen Farrell - Scaling Up - Forbes
Author: Maureen Farrell
