MOUNT VERNON — To date, 11 small companies throughout Knox County impacted by COVID-19 have obtained Emergency Enterprise Loans of $10,000 every, with Jeff Gottke, president of the Space Improvement Basis, hoping there may be as many as 19 extra supplied within the subsequent few months.
The checks are issued by the Knox County auditor, after an roughly one-week course of, Gottke stated. A loan Committee vetted the candidates, and accepted the loans which have been then despatched on to the Ohio Improvement Companies Company for approval. Ultimate authorization for the discharge of funds got here from the Knox County Commissioners.
The 11 small companies, practically all with fewer than 20 staff, can spend the no-interest loans — thought-about working capital loans for working prices — on payroll, utilities, hire and stock wants, based on Gottke. There’s a three-year payback interval, with loan funds initially deferred for 90 days. They are going to be made month-to-month.
There was a mean of three functions weekly over the previous month. Gottke stated the vary of Knox County small companies helped thus far embrace eating places, salons, hospitality ventures, meals vehicles, producers and private trainers. Companies are being helped with the loans in communities throughout the county, together with Mount Vernon, Fredericktown, Gambier, Danville and Howard.
Gottke stated the loans have helped the 11 companies, which vary from having 1 to 12.5 jobs retained by this system, hold a complete of 46.5 jobs on their payrolls. In practically all circumstances, the loans helped employers avert having to put staff off, he famous. The 4 fundamental loan standards required employers to retain jobs for low- to moderate-income staff. In addition they needed to reveal that their companies have been secure earlier than the COVID-19 pandemic began shutting down Ohio companies in March, and present each a capability to chop working prices as wanted and to repay their loans.
The emergency loans have been introduced a few month in the past, as a part of a revolving loan fund supposed to assist new companies begin and current ones to broaden. The fund had about $100,000 in it on the time, Gottke stated Friday. In search of to assist companies most impacted by the coronavirus, together with these affected by short-term closures, Knox County Commissioners quickly contributed $100,000 towards the revolving loans. Mount Vernon Metropolis Council adopted with $10,000, and different entities akin to ADF, the Knox County Chamber of Commerce and different entities have made contributions, with the fund now totaling about $300,000.
Gottke stated top-of-the-line options of the Emergency Enterprise Loans is that as a result of they’re a part of a revolving fund, the repaid loans from companies return into the fund to assist extra Knox County companies sooner or later. As issues resume to regular sooner or later, the loans would often go towards serving to new companies begin and current ones to broaden.
Those that have contributed to the fund see it not simply as a manner of serving to small companies impacted by the coronavirus to get again on their ft, however to see the potential of expanded job creation by a fund that has tripled in dimension from $100,000 accessible to $300,000.
“They see it as an investment,” Gottke stated.
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