Wisconsin Businesses Encouraged to Apply for EDA CARES Act Recovery Assistance Revolving Loan Fund

Wednesday, December 2nd, 2020 -- 9:00 AM

-Wisconsin businesses are being encouraged to apply for the EDA CARES Act Recovery Assistance Revolving Loan Fund.

The loan is designed to assist small businesses most impacted by the COVID-19 pandemic by assisting with long-term, fixed rate, low-interest working capital loans.  To be eligible, a business must utilize the loan for working capital; be located within the seven county region (Barron, Chippewa, Clark, Dunn, Eau Claire, Polk, and St. Croix); employ less than ten full-time equivalent employees; operate within one of the following industry sectors including manufacturing, retail trade, health care and social assistance, arts/entertainment/recreation, accommodation and food services and other services; and demonstrate the ability to repay the loan.

The finance terms and conditions include loan sizes from $5,000 to $10,000; repayment terms are up to seven years; 1% fixed interest rate for the first two years followed by 2% for the remaining term; referrals of principal and/or interest payments may be allowed for up to 12 months; collateral is required; unlimited personal guarantees are required for any owner with a 20% or greater ownership interest in the business; and all customary out-of-pocket fees and legal costs made in connection with the transaction are the borrower’s responsibility.

Feel free to contact us with questions and/or comments.