Businesses in the Golden State affected by COVID can leverage financing support through the Small Business Finance Center (SBFC). Partnering with Financial Development Corporations, eligible businesses can secure loan guarantees and direct loans through the California Disaster Relief Loan Guarantee Program.
Eligible businesses for the loan guarantee program must not qualify for federal disaster funding. The business must also be located in California with no more than 750 employees. Companies must have a proven negative impact from the COVID-19 pandemic.
Terms for the loans are for up to 7 years with guarantees of up to 95% of the loan amount. Ultimately, loan interest rates are negotiated between lender and borrower, with qualifications based on individual lender criteria. Loan funds may be used for business continuance or to cure “economic injury” due to COVID-19.
For more information on the program, please visit the official California SBFC website.