About $1 Million of Zero Loan Funds Still Available
Over the last two years, the Racine County Economic Development Corporation (RCEDC) distributed about $2.2 million of the Zero Loan Program – funded through the CARES Act – to Racine County businesses impacted by the pandemic.
From Burlington to the City of Racine, 19 businesses benefited from the use of this financial program – so far.
In July 2020, RCEDC was awarded $3.6 million from the US Department of Commerce to aid in Racine County’s pandemic financial recovery efforts.
The largest loan amount a business can receive is $250,000. Five Racine County businesses have already received the maximum amount.
Of the 19 businesses, the recipients are distributed throughout the communities as follows:
- 8 in the City of Racine
- 3 in Burlington
- 3 in Waterford
- 2 in Kansasville
- 1 in Wind Lake
- 1 in Sturtevant
- 1 in Union Grove
Recipient industries include manufacturing, retail, service, and transportation.
The program requires allocation of funds for either working capital or equipment purchases that will support the retention or creation of jobs. Of the 19 businesses, 10 used their fund for equipment, two for working capital, and seven for a combination of both.
“I am very proud of the BLP team for lending over half of the Zero RLF funds to Racine County businesses,” said Carolyn Engel, Business Finance Manager. “With 1,700 CARES Act hours dedicated towards administering these loans, we are excited to direct the last of these funds to local businesses.”
The intent of the program, according to the EDA website, was to be deployed “as quickly, effectively, and efficiently as possible, and in a manner that meets communities needs.” Some of the benefits include 0% fixed interest rate through June 2022, no processing fees, and 18-months of no principal payments.
To learn more about the Zero Loan Program, contact BLP Loan Officer, Wesley Walsh at wesley@blp504.org.
