The Mountain BizWorks nonprofit in Asheville said it is creating a small business lending program to assist recovery from Tropical Storm Helene, with $7.5 million funded by the Golden LEAF Foundation.
The program entails bridge loans of as much as $100,000 aimed at “providing critical relief to small businesses impacted by Hurricane Helene,” House Speaker Tim Moore said in a release. “Small businesses are the backbone of North Carolina’s economy, and this funding ensures that entrepreneurs can continue their operations during this challenging time.”
The loans will have a 1% interest rate and interest-only payments for 12 months. If not repaid in the first year, the loans will convert to a term loan. Mountain BizWorks and program partners hope to secure more funding in coming days and weeks.
“This program is designed to assist businesses that will be working to apply for a Small Business Administration (SBA) loan or other commercial loan, but that have more immediate needs for capital,” Golden LEAF board chair Ralph Strayhorn said.
Mountain BizWorks was formed in 1989 and promotes entrepreneurship in the region. It has a staff of about 30 and operates a community development financial institution, or CDFI, which makes small business loans.
Golden LEAF is a $1.4 billion (assets) foundation funded by proceeds from the national tobacco settlement. The group is based in Rocky Mount and mainly provides grants to aid communities historically reliant on the tobacco industry.
“We’re honored to contribute our resources to this initial wave of emergency funds, a crucial step toward a more resilient future for our region,” said Mountain BizWorks Board Chair Zane Adams.
For terms and application information, visit mountainbizworks.org/helene/fund. For additional business relief resources, visit mountainbizworks.org/helene.
