This bill amends the General Laws to insert a new section that provides definitions for terms used in the Rhode Island Small Business Development Fund. It also amends a section that relates to the application process for small business development funds seeking certification of equity or debt investments as capital investments eligible for tax credits. The application must include information such as the amount of capital investment requested, evidence of the applicant's license as a rural business investment company or small business investment company, and a business plan that includes a strategy for investing in minority business enterprises. The corporation must grant or deny the application within 30 days of receipt.

Under this bill, an applicant may be denied if they do not meet certain criteria, if their business plan does not demonstrate a positive economic impact, or if the corporation has already approved the maximum amount of capital investment authority. If the application is denied, the applicant has 15 days to provide additional information or complete their application. If the application is deemed complete and the applicant meets all requirements, the corporation will certify the proposed investment as eligible for tax credits. The corporation will certify investments in the order they were received and will allocate a total of $65 million in capital investments, with no more than $20 million allocated to any individual small business development fund. The bill also expands the definition of a minority business and takes effect upon passage.