Obtain the Assistance You Will Need for Your Enterprise
Acknowledging the significant effect associated with pandemic that is COVID-19 the area small company community, the Lancaster City Council has directed the issuance all the way to $2,000,000 in loan funds to assist small businesses in Lancaster through the Stand intense Business healing Loan Program.
Stay Strong offers low and no-interest loans of $5,000 to $20,000 to small enterprises in Lancaster impacted by the pandemic that is COVID-19. Funds are designed to 1) help companies adversely relying on COVID-19 in keeping viability during and beyond the outbreak, and 2) help those undergoing mandatory closures in recommencing operations following conclusion that is outbreakвЂ™s.
That is qualified?
To be able to be eligible for the scheduled system, organizations must:
- Be independent, locally-owned smaller businesses whoever main company procedure is positioned inside the Lancaster City limitations
- Are typically in procedure in Lancaster for at the least one year at the time of March 17, 2020 (the date the Lancaster City Council ratified the statement of the State of Emergency)
- Have actually yearly gross income of $3.5 million or less
- SIGNIFICANT – PLEASE BROWSE BEFORE YOU APPLY: Listed here businesses aren’t entitled to be involved in this system: smoke shops/cigarette stores, hookah lounges, pawn stores, payday loan providers, alcohol stores, adult entertainment enterprises, therapeutic therapeutic massage establishments, gambling establishments, and home-based organizations .
Exactly what can the income be properly used for?
Loan funds needs to be used for working capital costs such as lease, payroll, resources, important services, and necessary materials to help with company continuity and data recovery.
Exactly what are the loan terms?
Companies may choose 1 of 2 loan choices:
- Choice 1: 0% interest for a phrase of six months to at least one 12 months
- Option 2: adjustable rate of interest add up to the town of Lancaster Portfolio Yield for approximately 5 years; in no occasion will the price exceed 3%
Loan re re payments are due quarterly, without any prepayment penalty.
How will funds be awarded?
Loan amounts is likely to be determined predicated on need expressed through the Statement of anticipated Fund utilize and healing Arrange presented aided by the application.
As funds are restricted, loans is likely to be granted on a competitive basis, with prioritization on the basis of the following requirements:
- Effect of Mandatory Closures – The company is straight afflicted with the closures and/or limitations mandated by l . a . County.
- Require – The company shows a need when it comes to loan, and has now earnestly taken other actions to ensure company continuity and/or data data recovery.
- Community – the company is a little, locally-owned, entrepreneurial company, which supplies an original experience or solution to residents.
- Viability – The businessвЂ™s economic statements mirror a business that is stable, but also for the impact of COVID-19, could be in a position to continue running.
- Contribution – the company definitely plays a part in the synergy of this commercial area in which it really is found.
- Ownership – Independent, non-chain, non-franchised organizations is supposed to be provided first concern.
How can I use?
So that you can qualify, organizations must:
- Show that historical earnings had been enough to program the requested debt and also have been influenced by the COVID-19 outbreak.
- Principal company owner(s) will need to have reasonable and accountable credit that is personal and a satisfactory description for almost any derogatory markings. Bankruptcies and financial obligation write-offs needs to be at the very least year old.
- All business people whom hold 20% or higher ownership must guarantee the mortgage.
- Submit the next papers via our safe online portal:
- Complete loan application
- Company taxation statements (12 months)
- Revenue and loss declaration showing operating that is monthly and profits (six months)
- Individual tax statements (12 months)
- Bank statements (a few months)
- Statement of Expected Fund Use (optimum 1 web page)
- Healing Arrange (optimum 1 web web page)
Program Policies & Treatments
Follow this link to look at the program that is complete and procedures.
Applications and supporting materials can be submitted via a protected portal at the after website link.
Note: Please make reference to eligibility requirements above to make sure that your company is qualified ahead of using.
The length of time will the system last?
This system will continue to be in place until December 31, 2020 or until funds are exhausted, whichever happens first. Companies are motivated to use early to boost the reality that funds should be available upon application.