Businesses impacted by the COVID-19 crisis in 11 central Pennsylvania counties now have another funding option – a new loan program established by SEDA-Council of Governments (SEDA-COG).
No payments are due in the first six months for the new SEDA-COG EDA COVID-19 Loan Fund. There is a limited pool of funds available – $400,000 – so interested businesses should apply now. Funds are available until they are exhausted.
SEDA-COG Executive Director John Brown said SEDA-COG worked hard to secure these funds through the U.S. Economic Development Administration (EDA) and thanked them.
“We know businesses are hurting and we are using creative solutions to help meet the current needs in this ever-changing economic climate,” Brown said. “As the local community and economic development agency, we are thrilled to partner with the EDA to further assist our region.”
Doug Wilburn, director of SEDA-COG’s Business Finance program, worked with the EDA to get these funds reallocated for a broad array of businesses since they were originally limited to specific business sectors.
“This loan fund was reallocated by SEDA-COG in response to the COVID-19 crisis. The partnership of SEDA-COG and the EDA will give businesses in our region some relief. SEDA-COG has heard the voice of our communities and we will continue to look for ways to help local businesses through these trying times,” Wilburn said.
The loans are for businesses in SEDA-COG’s region of Centre, Clinton, Columbia, Juniata, Lycoming, Mifflin, Montour, Northumberland, Perry, Snyder, and Union counties.
For-profit businesses can apply for loans of at least $10,000 with an interest rate of 3.25%.
Funds can be used for working capital and can be disbursed based on past working capital expenses.