Providence Business Loan Fund Granted $836,000 from the Economic Development Administration to Administer Loans to Providence-Based Small Businesses
Thursday, September 3, 2020
PROVIDENCE, RI – Mayor Jorge O. Elorza today announced the Providence Business Loan Fund received $836,000 in additional resources from the Economic Development Administration through the CARES Act Recovery Assistance grant program to administer emergency loans for local small businesses affected by COVID-19. To date, the Providence Business Loan Fund has approved over $1.4 million in emergency loans to 23 local businesses including 16 minority- and women-owned.
“Providence is a resourceful, resilient City and we are committed to providing relief to our local business community,” said Mayor Jorge O. Elorza. “While we have much more work ahead to navigate the economic impacts of COVID-19, I am encouraged by the positive impact that PBLF funding is having on our residents and business owners.”
In April, the City of Providence announced a series of resources to help local businesses impacted by the public health crisis, including $1.5 million dollars in funding available through PBLF. For over 25 years, the Providence Business Loan Fund has helped businesses scale their operations and create employment opportunities across the city. Notable recent recipients include Farm Fresh Rhode Island, Yolenis, and Viva Mexico. While the fund typically offers secure loans from $50,000 to $500,000, businesses can apply for emergency loans that start at $10,000. New loan recipients also receive closing costs capped at $500, zero interest for up to 12 months, and deferred loan payments for 6-12 months. Funding from the Economic Development Administration will further support the PBLF’s emergency loan program by providing immediate access to capital for Providence-based businesses.
City Council President Sabina Matos stated, “My colleagues and I continue to receive phone calls from small businesses in our neighborhoods who are continuing to struggle to make ends meet. We are hopeful that these additional funds from the EDA, coupled with the City Council and Providence Revolving Fund micro-loan program, will supply additional aid and help keep these micro- businesses afloat while they continue to work towards rebuilding.”
Businesses interested in learning more about PBLF emergency loans—including eligibility requirements—should visit providencebusinessloanfund.com, or contact PBLF Director Tom Hoagland by calling 401-680-8412. Businesses ineligible for loans through PBLF are encouraged to apply for federal funding through the U.S. Small Business Administration economic injury disaster loans. Comprehensive information about these loans and how to apply for them, can be found on Commerce RI’s COVID-19 Disaster Loan FAQ. For information on city operations and about Providence’s response visit www.pvdcovid19.com or call PVD 3-1-1 to connect to the Mayor’s Center for City Services 8:00AM-8:00PM every day.