A Team California approach.
The CPCFA Loan Participation Program (LPP) is built to help California small businesses grow with capital that's affordable, accessible, and rooted in the communities they serve.
The program is funded through the federal State Small Business Credit Initiative (SSBCI 2.0), sponsored by the Capital Programs and Climate Financing Authority (CPCFA) within the California State Treasurer's Office, and administered by Community Capital Alliance (CCA).
Working alongside California's mission-focused community banks and minority depository institutions, the CPCFA LPP shares lending risk to increase access to capital. This is designed to support loans with lower rates and broader reach — putting capital directly into the hands of California small businesses ready to put it to work.
Built for established California small businesses
The CPCFA LPP serves established California small businesses seeking loans of $100,000 or more — for hiring, taking on bigger projects, investing in equipment, or covering working capital needs. By sharing lending risk with California community banks, the program helps expand access to affordable credit. Businesses with smaller capital needs may find a better fit with other California SSBCI programs.
A focus on lines of credit for underserved small businesses
The CPCFA LPP places special focus on short-term lines of credit for SEDI-owned businesses (socially and economically disadvantaged individual-owned) and very small businesses (VSBs) — the small businesses that have historically had less access to capital. When you're taking on bigger work, a line of credit is the working capital that turns opportunities into growth: stocking inventory ahead of a larger order, funding the upfront costs of a new contract or project, bridging the gap between invoicing and getting paid, or hiring to handle more volume.
The CPCFA LPP makes this possible by sharing lending risk with California's community banks and other depository institutions — broadening the pool of capital available and lowering the cost of borrowing. For underserved small businesses, that's often the difference between a loan that's out of reach and one that fits.
Why borrow through the CPCFA LPP?
Five reasons California small businesses choose participating CPCFA LPP lenders for the capital they need.
Increased access to capital
By sharing risk with participating community banks and minority depository institutions, the CPCFA LPP opens the door to financing for more of California's small businesses — especially the businesses that need additional help accessing capital.
Lower borrowing costs
Reduced lending risk creates room for better terms. The CPCFA LPP may provide a rate reduction on enrolled loans, supported by the program's risk-sharing structure — when applied, those savings extend across every dollar you borrow.
No program fees
There are zero CPCFA LPP fees to enroll a loan in the program — for borrower or lender.
Mission-focused lending partners
The CPCFA LPP partners with regulated community banks and other depository institutions built around local relationships and a long-term commitment to small business. For qualifying loans, CPCFA LPP enrollment can also help these banks meet their Community Reinvestment Act (CRA) goals — but CRA isn't a requirement. The program supports any small business loan that meets SSBCI's eligibility guidelines.
Small business lending experts
You work directly with community banks and minority depository institutions (MDIs) that know your local market, understand your industry, and specialize in small business lending.
Built for California
The CPCFA LPP isn't only a lending program — it's an engine for California's growth. Each loan benefits the borrower, the lender, the community, and the broader California economy.
More capital reaching more businesses
The CPCFA LPP expands access to capital for California small businesses — especially those that need the most help accessing it.
Jobs and local growth
Each loan fuels hiring, expansion, and California jobs.
Capital stays in California
CPCFA LPP-supported loans are made through participating California community banks and minority depository institutions. This structure keeps financing connected to local lenders, local deposits, and local business relationships.
A "Team California" approach
Every CPCFA LPP participant — small businesses, community banks, and public partners — is California-based. Each loan strengthens the network that supports the next California small business.
Ready to Get Started?
Take the first step toward accessing capital for your California small business.
