Fairfax County's Small Business COVID-19 Recovery Fund
May 17, 2020
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News & Updates
Small Business Microloan Fund The Board authorized the establishment of a $2.5 million microloan fund to support small business recovery. Along with the federal SBA loans and grants, the Small Business COVID-19 Recovery Fund and associated counseling will help our business community with needed relief. Applications will be accepted beginning April 28 and small businesses can apply for loans of up to $20,000 at 0% interest.
Principal repaid to this microloan program will be deposited into a revolving loan fund, which will continue to deliver growth capital to small businesses for the recovery period and beyond. This fund, in addition to the Federal CARES Economic Injury Disaster Loans (EIDL) and the Paycheck Protection Program (PPP), is designed to help businesses weather the current restrictions and be positioned to resume operations in the future.
A crucial component of the Fairfax County microloan program is the associated small business counseling, which is part of the application process and will continue through the life of the loan. Through an existing partnership with the County, the Community Business Partnership (CBP) will administer the program and provide this counseling. The County chose to work with this nonprofit because it is a Community Development Financial Institution (CDFI) in Fairfax County and has knowledge and experience making loans to small businesses.
The microloans will be available through the CBP to "for profit" businesses with one or more commercial locations in Fairfax County, including the principal place of business. Applicants must have less than 50 employees, have been in business for 2+ years and possess a valid Business, Professional and Occupational License (BPOL) to qualify. Loans can be used to cover working capital, equipment, rent, debt payments, and other operating expenses.
This program was created by the Fairfax County Board of Supervisors and is funded from the Economic Opportunity Reserve. The Board created the reserve to stimulate economic growth and make strategic economic investments.
For more information and to apply, visit https://www.fairfaxcounty.gov/economic-success/county-small-business-covid-19-recovery-fund or contact the Department of Economic Initiatives at [email protected].
