Hal Rogers of Kentucky reintroduced the SEED Act Bill that spawned the NMVC Program in 2000.
Having managed one of the six licensed entities since its inception, I've found NMVC to be a challenging and effective program.
Managed properly, the NMVC program can be an effective way to make risk capital available to the rest of the country outside of urban centers.
As described by SBA, a NMVC company is a privately managed, newly formed, for-profit investment company established for the purpose of providing capital and operational assistance to smaller businesses located in specific rural and urban areas.
Several conditionally approved NMVC companies already exist, with their formal approval contingent on their ability to raise required amounts of regulatory capital and grant matching resources, as well as meeting other technical requirements for participation.
These funds would be accompanied by $30 million in technical assistance for small businesses financed by NMVCs
, compared to $9 million appropriated in FY 2000.