Low-Interest Loans Available For COVID-Impacted Local Businesses
Applications are being accepted for the Capital Region Advancement Fund, which provides low-interest working capital loans to help stabilize local business operations and retain employment.
Loans can range from $25,000 to $500,000, and the interest rate is 1.5 percent. Businesses that received SBA Payroll Protection Program (PPP) and Economic Injury Disaster Loans (EIDL) loans are encouraged to apply if they are still in need of additional capital to sustain their recovery efforts.
Applicants must be for-profit businesses located in Albany, Columbia, Greene, Saratoga, Schenectady and Rensselaer counties. To be eligible, your business must have been in operation for at least six months prior to March 2020 and you must be able to demonstrate COVID-related hardship (ie: closing of business, reduction of revenues, employee layoffs, disruption of expansion or growth plans, change in capital expenditures).
No bank involvement is required and there are low to no closing fees. Principal payments can be deferred for the fix six months of the life of the loan, terms of which range from two to 10 years. There are no pre-payment penalties and application fees are waived.
Funding can be used to retain employees, cover expenses, support operations and make necessary adjustments toward a sustainable future after the pandemic has subsided.
To date, more than 50 area companies have approved for funding totaling $3.5 million. These funds will help small businesses retain approximately 435 full-time employees as they navigate the new normal.
Full program highlights and eligibility requirements can be found at capitalregionadvancementfund.com.