The Warren County Local Development Corp. has created a loan program to help small businesses recover from economic hardships due to the COVID-19 pandemic.
A total of $200,000 has been allocated for loans of up to $15,000 each with a 4 percent interest rate. Repayment of a loan must be within four years, with loan payments deferred for the first two months, officials said. There is no prepayment penalty.
To be eligible:
• Applicants must be either sole proprietors, independent contractors, self-employed, or an LLC operating within Warren County. They cannot previously have received Payroll Protection Plan or other loans.
• Businesses must have 20 or fewer full/part time employees.
• Loans may be used for working capital, payroll, rent, utilities, mortgage and monthly expenses.
• They must have been in business for at least two years.
There is no application cost, though a closing fee of up to $125 may be required.
Officials said the money can be used for working capital, payroll, pay roll, rent, utilities, mortgage and monthly expenses.
It cannot be used for paying off existing debt, refinancing other loans, acquiring a position in a business, purchasing real property, buying personal equipment, investments, expansion of a business or personal expenses.
The loans can be for up to $15,000, though the board reserves the right under special conditions to undertake small variations to that amount. Loan payments (principal and Interest) will be deferred for first two months
Fort more information contact Ed Bartholomew EDC Warren County, at ebartholomew@edcwc.org or at 518-761-6007.