HispanicBusiness

Gov. Pat Quinn Wednesday announced a program aimed at helping Illinois businesses and entrepreneurs gain access to funding they need to start companies and expand existing business.

The program, called Advantage Illinois, will leverage $78 million in federal funding. The purpose is to help businesses accelerate job creation and economic growth, the governor said at a press conference on the west side of Chicago.

"To boost our economy, create jobs and compete in the global marketplace, we must provide businesses and entrepreneurs with the tools they need to grow," Quinn said in a statement.

The Advantage Illinois program is comprised of three components to spur institutional lending, and one program to leverage private venture capital in start-ups and high-growth businesses:

-- Capital Access Program will assist businesses with financing. It is designed to encourage financial institutions to make loans to small and new businesses that do not qualify under conventional lending policies.

-- Participation Loan Program will support businesses with projects that create or retain jobs and/or modernize their businesses to improve competitiveness. One component is devoted to Minority/Women/Disabled/Veteran-Owned businesses. The state purchases and subordinates part of the loan to help mitigate lender risk.

-- Collateral Support Program will establish e savings accounts or CDs that provide cash collateral support to lending institutions to enhance the equity and/or loan collateral levels of small business borrowers.

-- Invest Illinois Venture Fund Program is a new venture capital program to support young, innovative companies in Illinois that show high growth potential, can demonstrate their place in the market and already have other investors.