Program Purpose

ESD has capitalized over $600,000 making funds available to five community-based corporations to administer and make loans to small retail and service businesses in their service areas.

The two primary forms of assistance are:

� Working capital loans of up to $15,000 for terms not to exceed 5 years.  Loans may be used for, but not limited to:  upgrading display lighting, advertising and promotion, payroll for additional staff and training, purchase of computers to enhance inventory control, and the purchase of display cabinets, furniture and fixtures.

� Fixed asset loans of up to $20,000 for terms not to exceed 7 years.  Loans may be used for, but not limited to:   acquisition or improvement of real property, including interior improvements and remodeling, building façade improvements and signage.

Eligibility

� Eligible applicants include for-profit retail, professional or commercial service businesses with 50 or fewer full-time equivalent employees, located within the specific service delivery area served by the administering corporation.

� Eligible uses of working capital loans include inventory, upgrading display lighting, advertising and promotion, payroll, computer hardware and software, display cabinets, furniture and fixtures.

� Borrowers must have at least a 10% equity interest in the project or business.