Iowa’s Small Business Loan Program, which started August 1st, has already shown it’s paying dividends to Iowa’s small businesses.
The program is an effort to create good paying jobs and help Iowa’s small business owners through a $5 million loan program. The Iowa Small Business Loan Program will provide loans up to $50,000 to small businesses with under 35 employees, with an interest rate of 3.9%.
As of October 1st, the following results can be shown:
- 46 loans are in the process with the Small Business Development Centers.
- 11 applications have been received by the Iowa Foundation for Microenterprise and Community Vitality (IFMCV), of which, eight have been recommended to the Department of Economic Development (DED) for approval and three have been recommended for denial.
- The eight approved businesses have been awarded $375,000 in capital, which has leveraged $325,000 in additional co-financed capital.
- Of the eight businesses, two have been start-ups and six are existing businesses.
- 32 full-time and 16 part-time jobs have been created or retained.
The program is still taking applications. To apply businesses must also have a business plan and receive assistance from an Iowa Small Business Development Center, the John Pappajohn Centers for Entrepreneurship, or the Iowans for Social and Economic Development.
Interested businesses should contact their local Small Business Development Center (www.iowasbdc.org) to confirm eligibility and application process.