Senator Robinson Hosts Zoom Conference for Minority Businesses on Loans Availableby Greater Diversity News May 15, 2020
Senator Robinson and Representative Quick hosted an important Zoom call with Golden Leaf’s Director of Programs, Kasey Ginsberg to give minority businesses links and information on how to apply for the Loan appropriated by the NC Legislature in its recent session.
The NC Rural Center processes applications and partners with several CDFIs to provide underwriting and technical assistance to small businesses. Some of these are the Piedmont Business Capital, NC Institute for Minority Economic Development, who serve the Triad Area. It is important that minority businesses APPLY NOW.
THE INFORMATION IS BELOW
Small-Business Owners Affected by Coronavirus (COVID-19)
Small-business owners affected by Coronavirus (COVID-19) can learn more about the NC COVID-19 Rapid Recovery Loan Program and apply for a loan – click here
To speak with someone about this program or other resources available to small businesses please contact Business Link North Carolina (BLNC) at 800-228-8443.
Piedmont Business Capital will have a hotline available starting Monday at 336-402-3953 (9am – 5pm, Monday thru Friday).
Golden LEAF NC COVID-19 Rapid Recovery Loan Program
The Golden LEAF Foundation announced the NC COVID-19 Rapid Recovery Loan Program. Businesses are eligible for bridge loans of up to $50,000 with six months of no interest and no payments. The North Carolina COVID-19 Rapid Recovery Loan Program supports North Carolina small businesses and family farms as they recover from the economic impact of COVID-19. This rapid recovery loan helps small businesses bridge the gap between when crisis strikes and when federal loans and other relief funds are approved, or businesses have time to recover.
For information on the Rapid Recovery Loan Program visit: clerk here
Who is eligible?
· Applicants must be a North Carolina small business affected by COVID-19 (all 100 NC counties are eligible).
· Applicants must have at least one (1) employee, who could be the self-employed owner.
· Start-up businesses that began operations before March 23, 2020 are eligible.
Loans are available for up to $50,000, based on the business’s current revenue. Loan agreements are structured as follows:
· Loan sizes capped at approximately two months of current revenue.
· Six months of no payments, followed by 48 months of principal and interest payments at 5.5% interest.
· There are no prepayment penalties.
· Defaulted loans are subject to collections.
· Any individual with greater than 20% ownership in the applying business must personally guarantee the loan.
· Proceeds from the loan may only be used for maintaining or restarting a business.
· The use of loan funds to pay off debts already incurred for qualifying business maintenance or restart purposes may be authorized on a case-by-case basis.
· Borrowers are required to assign the proceeds of future assistance programs, including SBA loans, to the repayment of their Rapid Recovery Loan.
Logistics & Timeline
· Businesses interested in applying should be prepared to complete an online application and provide tax returns, profit and loss statements, and bank statements.
· The partners in this program are committed to moving as fast as possible to assist businesses and they will be in touch with applicants as soon as possible.
· Loans subject to availability of funds.