DOE, SBA Sign Agreement to Launch SBIC-E Initiative
The new partnership directs DOE and SBA resources to channel private capital into energy-focused small businesses, effective immediately.
The U.S. Department of Energy and the U.S. Small Business Administration signed a Memorandum of Agreement today establishing the Small Business Investment Company-Energy (SBIC-E) Initiative. The agreement binds the two agencies and the SBA's Small Business Investment Company program to a coordinated effort that channels private capital into small-business technologies identified as strategic to U.S. energy and economic security.
The SBIC program currently manages a $58 billion portfolio and, since its inception in 1958, has invested $147 billion in American small businesses. Since 1995, SBIC-backed firms have created or supported 10.6 million jobs, providing a proven vehicle for leveraging private investment.
Under the initiative, DOE's Office of Technology Commercialization will identify strategic technology priorities, provide technical and commercialization expertise, and engage the investment community. SBA's Office of Investment and Innovation will administer the program and encourage the formation of investment funds focused on those priorities. Initial investment priorities include technologies that support American energy production and energy security; critical minerals, advanced manufacturing, and advanced materials; artificial intelligence, quantum information science, semiconductors, and future computing; and advanced communications, biotechnology, and other critical and emerging technologies.
The initiative also aligns with DOE's existing commercialization ecosystem, including companies participating in the Small Business Innovation Research and Small Business Technology Transfer programs, ARPA-E, the Technology Commercialization Fund, the Lab-Embedded Entrepreneurship Program, and firms commercializing National Laboratory technologies.
DOE and SBA will continue to engage investors, entrepreneurs, and commercialization partners as the initiative evolves. Further details on investment priorities, participation opportunities, and upcoming engagement activities will be posted on the SBIC-E Initiative webpage.
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