HB 368 Summary

• Creates the Alabama Small Business Investment Act of 2015, replacing all references to "Certified Capital Company" with "Alabama small business investment company" throughout Chapter 40-14B of Alabama Code.

• Defines "community outreach" as an investment company's involvement in entrepreneurial communities including mentoring at universities, hosting business plan events for incubators, and other activities promoting entrepreneur growth.

• Establishes a third allocation of premium tax credits equal to 50 percent of the total tax credit pool allocated prior to June 14, 2015, allowing certified investors to take up to 12.5 percent of vested premium tax credits annually beginning in the second tax year after investment.

• Requires applicants for the third allocation to provide a portfolio business plan detailing industry segments, projected job creation/retention, and independent revenue impact assessment showing 10-year positive state revenue impact.

• Mandates the Department of Commerce post qualified investment information (date, amount, business name and location) on its public website and submit biennial reports including community outreach activities for third allocation participants.