A COVID-19 Small Business Emergency Stabilization Loan Fund has been formed by the joint efforts of Mecklenburg County and Carolina Small Business Development Fund. Financing ranges from $5,000 to $35,000. In a time when a global pandemic has such significant economic impact, small businesses are unlikely to have financial resources to overcome a nondiscriminatory force as widespread as COVID-19. Because many small businesses operate in the service sector and mass-gatherings are prevented, the coronavirus slows business clientele traffic greatly.
These relief loans carry an affordable interest rate of 3% with terms of up to ten years and require no collateral. To qualify, small businesses need to be physically located in Mecklenburg County, have 50 of fewer full-time employees, and have been in operation for at least 24 months.
Online applications are currently on hold and will reopen on Monday, April 13 at http://www.carolinasmallbusiness.org. Applicants will be asked to provide the following documents:
- 2018 Business Tax Returns
- 2019 Profit & Loss Statement
- 2019 Balance Sheet
- Current Business Bank Statement
- Lease Agreement/Mortgage Statement
Each individual who has 20% or more ownership will need to provide 2018 Personal Tax Returns and a Driver’s License copy.
Concerning the Carolina Small Business Development Fund, Charlotte Council Member James Mitchell, Jr. has said, “We look for those organizations that can help provide access to capital for small businesses, provide technical support so that they can be successful, and provide that policy research. And having that partner that you can really trust is very important for all of us who have a dream to be successful.”
Aside from teaming up with Mecklenburg County for the above-mentioned Stabilization Loan Fund, Carolina Small Business Development Fund has partnered with public, private and nonprofit lenders and formed a Rapid Recovery Loan Program. This innovative recovery-lending program is for the benefit of entrepreneurs. President/CEO Kevin Dick said, “We are looking for decisions within a day or so for rapid recovery.” Applications are currently being accepted at https://ncrapidrecovery.org. These loans are based on the business’s current revenue and are available for up to $50,000. Businesses must be based in North Carolina and affected by COVID-19. Businesses that began operations before March 23, 2020 are eligible. This is not a grant program.
Phil Crumb, President of Crumb Trucking LLC has received financing from Carolina Small Business in the past. Because of their initial support, Phil was able to donate one of his dump trucks to a local church so that they could haul away debris during Hurricane Matthew in 2016. “The Carolina Small Business Fund has helped me obtain and secure working capital for my company. They were really there for me,” he said.
With a proven track-record, Carolina Small Business Development Fund is the leading provider of capital for small businesses in North Carolina.
Outside of the COVID-19 relief-specific applications, businesses operating for at least two years can apply for a micro loan or conventional business loan. To review required documentation, visit https://carolinasmallbusiness.org/loans/apply-now/. When ready, applicants can then email Ron Fisher at rfisher@carolinabusiness.org.
