---
title: Clean Energy Loan Program for New Green Lenders to Help Small Business Meet Climate Goals
description: Biden-Harris Administration Opens SBA Loan Programs to attract a new generation of Green Lenders in SBA’s loan programs. The initiative will employ SBA loan guarantees to help small businesses meet climate goals.
author: Darie Nani (Editor-in-Chief)
date: 2024-08-06T18:43:07.000Z
updated: 2026-04-01T11:39:18.699Z
canonical: https://www.sovereignmagazine.com/article/clean-energy-loan-program-for-new-green-lenders-to-help-small-business-meet-climate-goals
image: https://cdn.nanimediahouse.com/q8v1eevnjgk.jpg
categories: Social Impact
content_type: News
region: United States
publication: Sovereign Magazine
---

In its quest to attract new green lenders, Biden-Harris Administration Opens SBA Loan Programs to New Green Lenders to Help Small Businesses Meet Climate Goals. [SBA ](https://www.sba.gov/article/2024/07/22/biden-harris-administration-opens-sba-loan-programs-new-green-lenders-help-small-businesses-meet)is seeking partnerships from various financial actors, ranging from highly localized micro-lending institutions to national financial establishments. These lenders are given an opportunity to apply in various categories.

These include becoming a micro-lender, [providing loans](https://www.sovereignmagazine.com/article/female-investors-invest-with-intent) of up to $50,000; becoming a Certified Development Company, a non-profit entity focused on advancing the economic development of its region; or ascending to the role of a Community Advantage Small Business Lending Company, also known as CA SBLC. A CA SBLC is a[ non-bank lender ](https://www.sovereignmagazine.com/article/key-concepts-in-behavioural-finance-explained)with an emphasis on financing [“mission driven”](https://www.sovereignmagazine.com/article/mike-galgon-supports-new-breed-of-entrepreneurs-driven-by-purpose) projects.

The SBA does not directly provide the loans but collaboratively works with various [lenders](https://www.sovereignmagazine.com/article/15-strategies-for-business-leaders-to-adapt-to-change) to offer [small business loans](https://www.sovereignmagazine.com/article/from-vision-to-reality-how-to-set-your-business-for-success), which typically have lower interest rates compared to conventional loans.

The SBA is currently finalizing the application process for prospective CA SBLCs, with a plan to increase the existing loan cap of $350,000 to $500,000 for active CA SBLCs. [CA SBLCs will also have the capability](https://www.sovereignmagazine.com/article/how-10-million-in-government-loans-could-transform-the-childcare-business-landscape) to apply for larger loans, with amounts up to $2 million earmarked for climate-related initiatives.

“Small businesses and homes represent more than one-third of U.S. emissions, emphasizing the critical role they play in the overall solution” noted SBA Administrator Isabel Guzman. Through this initiative, [SBA ](https://apnews.com/article/green-energy-small-business-administration-4dc4d40c9cd7dbafa0c2b85d1d8466d8)aims at empowering more climate-focused lenders to leverage the SBA federal loan guarantee programs in support of the ongoing transition to clean energy.

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