Senate committee hears reauthorization for rural business investment program after proponents cite $188 million invested

Proponent testimony in the Ohio Senate Ways and Means Committee explained Senate Bill 110, a reauthorization of the state’s rural business investment program (referred to in testimony as the Ohio Rural Business Growth Program). Ryan Dressler, a principal with Advantage Capital, described the program’s structure and results and said $188 million has been invested across 52 companies in 29 rural counties statewide.

Dressler told the committee that federally licensed fund managers with rural business investment company or small business investment company designations raise private capital up front, invest that capital within three years in qualified rural businesses, hold investments for six years, and take no management fees under the program construct. He described two program protections: recapture of tax credits if…