Small Business Loan Program

You’re taking the right steps to get your business ready for construction of the Central Corridor LRT Line. That may qualify you for extra help if you need it.

For more information or help with an application, talk to your Central Corridor Business Consultant.

0% interest business loan:

Interest-free deferred loans will be available for qualified small businesses on the Central Corridor LRT Line. The funds provide a modest “safety net” for businesses that have prepared for the construction phase and still show significant loss of gross sales.

Depending on the availability of resources, some portion of individual loans may be forgiven.

Who qualifies?

• Independent, for-profit business with up to $2 million in annual gross sales
• Located on the Central Corridor line
• At current Central Corridor location for one year or more
• Can show taxes, rent/mortgage, utility and employee payments were current at the start of construction
• Must have completed “Ready for Rail” training prior to construction

Ready for Rail training:

Prepare your business now, before construction starts. Workshops will be offered to help you:

• Know details of construction plans and how to maintain access to your business
• Get the most benefit from your financial record keeping and reports
• Select free training or services that help you manage your business
• Set a goal and a plan for saving money before construction starts.

After the training, you will complete a one-page Construction Preparation financial plan. It can be used to establish the financial impact of construction on your business.

When to apply:

Loan applications may be submitted 60 days or more after construction has started in your immediate area.

Loan documentation:

The Ready for Rail training will help you understand and prepare documents you will need for your loan application. You must:

• Show you were current on taxes, rent/mortgage, utility, and employee payments at the beginning of the LRT line construction in your area
• Present at least three years of financial records (or as long as you have been in business, if less than three years) to show your inability to cover your basic business expenses is related to construction
• Certify that the loan will be used for basic business expenses including taxes, rent/mortgage, utility or personnel payments.

Loan features and terms:

• 0% interest
• Secured by signed note/personal guaranty
• Loan principal shall be repaid, beginning one year after the loan is closed. The maximum loan term will be five years, including the one-year deferral period. Equal monthly payments will be due starting a year after closing.
• Depending on the availability of resources, some portion of individual loans may be forgiven in equal amounts over five years.
• Loan balance payable on sale of the business or relocation from Central Corridor.