Small Business Boost (SBB)
- About the Program
- How to Apply
- Nonmembers
- Resources
Small Business Boost
Big Solutions for Small Businesses
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Our Impact
Learn how FHLB Dallas made a big impact in 2023.
$3.4M
Loaned to Small Businesses
46
Small Business Served
153
Jobs Created or Retained
Building Bridges with the SBB
Loan Program Gives Business the Boost it Needed
Mississippi Infant and Maternity Boutique Blossoms with Small Business Boost Support
Washing Away Obstacles: How Small Business Boost Paved the Way for a San Antonio Car Wash
Stories
Tell Us Your Story
In addition to ensuring the small business meets Small Business Boost (SBB) guidelines, participating FHLB Dallas members must:
- Demonstrate that the loan does not meet their underwriting criteria without the SBB funds
- Ensure that the SBB loan does not exceed $125,000 or 50 percent of the member’s loan to the small business, whichever is less
- Provide at least 40 percent of total financing to the small business. Extending or modifying a borrower’s existing debt may be used to meet this requirement; members are not required to advance additional loan funds to the small business
- Monitor and report on the performance of the loan per the program’s requirements
How It Works
SBB funds are offered through participating SBB members. Our team is committed to ensuring that that the process is easy and streamlined.
- Member Enrollment: Join our network of members offering SBB funding to their small business customers. To apply, simply complete and submit the SBB Enrollment Form and SBB Master Agreement. Once accepted into the program, you can request SBB funding during each annual offering period.
- Customer Engagement: Promote SBB to the small businesses in your community, ensure their eligibility and guide them through the application process. FHLB Dallas offers tools to help you market the program to prospective borrowers.
- Funding Requests and Disbursement: Register an eligible small business for an SBB loan during an open funding period to request funds for a project. FHLB Dallas will notify you of a decision within 10 business days and disburse the funds to your FHLB Dallas demand deposit account, at which point you will have three months to close on the SBB loan.
- Loan Servicing: Collecting monthly payments from the small business in accordance with the amortization schedule provided by FHLB Dallas and remit to FHLB Dallas annually. Program funds are repaid to FHLB Dallas only when the small business can make these payments to the member
- Ongoing Monitoring: In year two, FHLB Dallas will request a Performance Management Review to confirm compliance with the SBB program requirements, including the number of jobs created or retained.
Note that it is the member's responsibility to monitor the performance of the loan and to immediately notify FHLB Dallas of any loan payments that are 60 days or more past due. In the case of loan default, the member should begin reasonable collection efforts for the member loan and SBB loan. If there are insufficient funds to repay the SBB loan, a written notification detailing the recovery process must be provided to FHLB Dallas.
Applying to Participate in SBB
FHLB Dallas members can enroll in the SBB program by completing the SBB Enrollment Package, which includes the SBB Enrollment Form and SBB Master Agreement. You can request to receive the enrollment package via AdobeSign using the contact form below or by emailing SBB@fhlb.com.
FHLB Dallas will review the forms and notify members of their acceptance into the program within 10 business days.
Applying for Small Business Boost Funds
To apply for SBB funds during an open funding round, enrolled members may request the SBB Business Registration form be sent via AdobeSign by submitting a request using the contact form below or by emailing SBB@fhlb.com. In addition to the SBB Business Registration form, a copy of the credit write-up for the member loan and organizational documents for the small business will be required.
FHLB Dallas will notify members of a decision within 10 business days. The member will then have three months to close on the SBB loan. Disbursement of SBB funds to the member’s FHLB Dallas demand deposit account is completed after the funding request form and all supporting documentation has been received and approved.
Interested organizations (applicants) must complete and submit an application in partnership with an FHLB Dallas member financial institution. Funds will be disbursed through the member institution sponsoring the application.
SBB funds are extended to eligible small businesses through FHLB Dallas’ members. If you are a small business owner looking for assistance, contact a participating FHLB Dallas member for more information about your eligibility and the application process.
Note: Funds may only be accessed through a member institution. FHLB Dallas does not provide funds directly to businesses.
SBB funding may be used for:
- Permanent working capital
- Building purchase
- Land acquisition and construction
- Facility expansion
- Machinery and equipment purchase
- Leasehold improvements
- Closing costs
SBB loans for non-real estate transactions can extend up to seven years and be amortized up to 10 years. SBB loans involving real estate can be amortized for up to 15 years. If the financing of real estate is greater than 50 percent of project costs, the SBB loan term will be the lesser of 10 years or the member’s loan term.
How It Works
To qualify for SBB funding, a small business must meet the following criteria:
- The business must be qualified as a small business based on Small Business Administration (SBA) standards
- The small business must create or retain at least one job for every $62,500 of SBB funding
- If the loan involves real estate, at least 51 percent of the real estate must be occupied by the small business
The small business may obtain only one SBB loan.
