Northwood has launched the business loan initiative, a program offering financial assistance to small and local businesses financially impacted by the COVID-19 pandemic, Northwood Mayor Ed Schimmel announced today.
“Small businesses are the backbone of this community, so Council and the city’s leadership are aligned on the strategic importance of this program”, said Schimmel.
Funded largely by Northwood general funds, the initiative will provide direct assistance to small businesses impacted by the duration and restrictions of the pandemic.
Two variations of the program have been created, with the first type being a $5,000.00 emergency microloan program aimed at sole proprietorships or businesses with fifteen or fewer employees that have not received assistance from U.S. Small Business Administration’s Economic Injury Disaster Loan Program or Paycheck Protection Program. These zero percent interest loans can assist local businesses with the costs for health and safety improvements, wages and salaries, rent, and inventory.
The second type of loan, the business loan program, will provide loans to Northwood businesses that need financial assistance for projects but cannot receive conventional bank financing due to the current lending environment. For situations like this, businesses of all sizes can request up to $10,000.00 in low interest loans for projects that create and retain jobs in our community.
“We’ve heard from several businesses that currently have great expansion projects on the books, but they can’t get funding because of all the uncertainty in the economy right now. This program can be the gap financing to help them forward”, said Schimmel.
BUSINESS LOAN FUND GUIDELINES
BUSINESS LOAN APPLICATION
Questions can be directed to City Administrator Bob Anderson at 419-693-9329 or email email@example.com