FOR IMMEDIATE RELEASE
June 18, 2020
MEDIA CONTACTS
Tanisha Jumper, Media and Communications, tjumper@cityoftacoma.org, (253) 591-5152
Maria Lee, Media and Communications, maria.lee@cityoftacoma.org, (253) 591-2054
City Provides COVID-19 Stabilization Loans to Tacoma’s Small Businesses
TACOMA, Wash. -- In an effort to mitigate the negative economic impacts of COVID-19 on Tacoma's small businesses, the City of Tacoma's Community and Economic Development Department established a $1 million COVID-19 Stabilization Loan Program utilizing existing revolving loan funds.
Out of 200 applications received, the City approved 69 small businesses with brick-and-mortar establishments within Tacoma city limits, and 10 or fewer employees, to receive stabilization loans averaging approximately $15,000 each.
Although stabilization loan eligibility requirements required that businesses must have been operating in Tacoma for a minimum of one year, those that were approved for stabilization loans have, in fact, been a part of Tacoma’s economic landscape for an average of 14.5 years.
“With relatively limited resources, the City is grateful to be able to provide Tacoma’s small businesses with some level of assistance during this time of economic disruption,” said Mayor Victoria Woodards. “Approximately 36 percent of businesses approved for funding operate in the food and beverage industry, followed by 20 percent in the retail industry. These have been two of the hardest hit sectors during this pandemic and, along with Tacoma’s other small businesses, are the lifeblood of our local economy.”
With a five-year amortization period at a fixed interest rate of 75 percent of prime rate and no pre-payment penalties, loan payments will be deferred for 12 months after loan closing. This means that the small businesses approved for a loan that closed in June 2020 will not have to make any monthly payments until June 2021.
Additional information and resources for businesses is available at makeittacoma.com.
As the situation evolves, general information about the City’s response to COVID-19 will continue to be posted on the “What’s Going On” section of the City’s website. Information about COVID-19 is available at TPCHD.org/coronavirus.
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