Gov. Greg Abbott announced community development financial institutions will provide $50 million in loans to small businesses in Texas.
Texas, partnering with Goldman Sachs, LiftFund and other Community Development Financial Institutions, will provide the loans to small businesses affected by COVID-19 as part of Goldman Sachs’ 10,000 Small Businesses program.
The loans will be made through the U.S. Small Business Administration’s Paycheck Protection Program. Loans will primarily be used for payroll so employees can continue to receive paychecks and small businesses can retain their employees.
Goldman Sachs is providing the capital as part of its $500 million commitment to COVID-19 relief. The funds will be administered through the LiftFund and other CDFIs to qualified small businesses.
LiftFund is a nonprofit organization with headquarters in San Antonio that helps small business owners with limited access to capital. They also offer small business loans and minority business loans.
Abbott said these initiatives will help revitalize the economy and restore the livelihoods of Texans as they respond to COVID-19.
As of April 13, there have been 13,906 positive COVID-19 cases in Texas, 287 reported deaths, 2,269 recoveries and 1,176 current hospitalizations, according to Abbott.