The Pennsylvania Industrial Development Authority (PIDA) approved funding today to provide $61 million in low-interest loans to Pennsylvania small businesses impacted by the COVID-19 public health emergency, according to Senate Appropriations Chairman Pat Browne.
Loans of up to $100,000 to use as working capital will be available through the Pennsylvania Commonwealth Financing Authority (CFA) for small businesses with 100 or fewer full-time employees. In addition to a low interest rate, there will be no application fees, and the terms will include no payments and no interest during the first year of the loan.
Funding for the program was made possible by the CFA’s transfer of $40 million in funding to PIDA. That money will be combined with existing funds in PIDA’s Small Business First Program to provide low-interest loans to small businesses.
“There is no questions that COVID-19 and the efforts established for its mitigation are impacting businesses in Pennsylvania, especially those with 100 or fewer employees,” Senator Browne said. “The Commonwealth is taking direct action to help those affected business, providing them with additional options to get through this difficult time.”
Additionally, Senator Browne said PIDA’s priority is to ensure that when the application period is opened and businesses start to apply, the turnaround time for loan approval can be a matter of days. He said more details will follow as soon as the information is available.
More information can be found on the Department of Community and Economic Development’s website at https://dced.pa.gov/programs/pennsylvania-industrial-development-authority-pida/ .
Contact: Matt Szuchyt- 610-821-8468