DALLAS--(BUSINESS WIRE)--The Federal Home Loan Bank of Dallas (FHLB Dallas) is pleased to announce the opening of the second funding round for its Small Business Boost (SBB) program. On July 15, 2019, a total of $2.65 million in funding will be available for which FHLB Dallas members may apply online.
Launched in early 2019, SBB helps members provide financing for qualified small business transactions by filling the gap between the amount an FHLB Dallas member can provide and the loan request made by an eligible small business. SBB loans are unsecured and subordinate to the primary loan made by the member to meet the financing needs of the small business when there is a lack of equity or shortfall in collateral. As small businesses grow and repay the SBB loan, FHLB Dallas will recycle the funds back into the program to help finance future small business transactions.
Additionally, FHLB Dallas has applied updates to the program. Effective July 1, 2019, SBB program enrollment has been simplified to require completion of the SBB Enrollment Form and SBB Master Agreement only. Members are no longer required to view an SBB program webinar, provide a copy of their loan policy or submit a blank credit write-up form to enroll in the program.
Effective July 15, 2019, FHLB Dallas is also removing the $300,000 annual member cap, so there will be no limit on individual member use of the SBB program for the remainder of 2019.
“SBB is a conduit through which our members can provide a source of flexible, secondary financing to small businesses,” said Greg Hettrick, first vice president and director of Community Investment at FHLB Dallas. “Our goal with SBB is to help our members strengthen their local economies as well as increase lending opportunities for our members.”
Members may take advantage of SBB as long as funds are available or until November 29, 2019, whichever comes first. SBB is available through FHLB Dallas members only. Small business owners who are interested in the program may check the following website to determine whether their financial institution is an FHLB Dallas member or view members in their area. To learn more about the SBB program, visit fhlb.com/sbb.
About the Federal Home Loan Bank of Dallas
The Federal Home Loan Bank of Dallas is one of 11 district banks in the FHLBank system created by Congress in 1932. FHLB Dallas, with total assets of $69.0 billion as of March 31, 2019, is a member-owned cooperative that supports housing and community development by providing competitively priced advances and other credit products to approximately 820 members and associated institutions in Arkansas, Louisiana, Mississippi, New Mexico and Texas. Visit fhlb.com for more information.