Loans – Metropolis approves practically $6.5 million in low-interest loans for 77 small companies in 2020
The Metropolitan Enterprise Growth Company (METCO) board this 12 months permitted low-interest loans, totaling practically $6.5 million, to assist 77 small companies get began, develop and stabilize amid the COVID-19 pandemic. In 2019, the board permitted $2.5 million in loans.
“Given this 12 months’s twin challenges of the COVID-19 pandemic and ensuing financial recession, it’s no shock that we’re seeing a higher want from companies for METCO’s conventional low-interest loan merchandise, in addition to the brand new Small Enterprise COVID-19 Aid loan Program, created particularly to help companies affected by the pandemic,” stated Mayor Greg Fischer. “Thank you to the METCO board and our Small Business Team for their hard work this year!”
The board, which oversees Louisville Ahead’s small enterprise loan program, permitted conventional METCO loans, totaling nearly $4.three million for 23 small companies in 2020. The loans, that are supplied yearly, are anticipated to leverage $52.7 million in funding.
One other 54 companies acquired loans, totaling $2.2 million by means of the Small Enterprise COVID-19 Aid loan program, additionally administered by METCO. Created in September with $2.9 million from the U.S. Division of Commerce’s Financial Growth Administration, this system offers small companies negatively impacted by COVID with low-interest loans of as much as $50,000 to pay for bills that may maintain the enterprise.
Along with the loan approvals, the METCO Board in November permitted a $500,000 allocation to the Louisville City League for A Path Ahead fund, which can present a mixture of grants and low-interest or forgivable loans to Black entrepreneurs, and agreed to defer loan funds for current METCO loan holders till July 1, 2021. loan holders should request the deferral; it isn’t utilized routinely.
In March, the board voted to shift $500,000 from its Small and Deprived Hole loan Fund to LHOME to create the Small Enterprise Continuity loan Program, a $900,000 fund offering zero-interest loans with no funds for 12 months to small companies impacted by COVID-19. LHOME, a Louisville-based neighborhood growth monetary establishment, has permitted loans totaling $1.5 million to 68 native companies.
METCO administers all of Louisville Metro Authorities’s small enterprise loan packages, which embrace facade, accessibility, working capital, and hole financing loans. As a result of Louisville Metro shouldn’t be the first lender, the loan program permits many public-private partnerships between authorities and personal enterprise ventures that additional neighborhood companies, vitality and high quality of life within the Louisville neighborhood.
The METCO board meets on the fourth Thursday of every month. Conferences are at 9 a.m. and might be streamed on Develop Louisville’s Fb web page. The assembly schedule for 2021 is January 28, February 25, March 25, April 22, May 27, June 25, July 22, August 26, September 23, October 21 and December 9.
To study extra in regards to the metropolis’s small enterprise loan packages, go to https://louisvilleky.gov/authorities/louisville-forward/local-loan-programs.