New Orleans, LA – Today, the Mayor’s Office of Economic Development announced the extension of the deadline to apply for a loan from the New Orleans Small Business Assistance Fund (SBAF), a new financing program designed to support the growth of new and existing businesses. It was created in partnership between the City and NewCorp, Inc.
The new application deadline is November 15, 2012. The application is available online at www.newcorpinc.com.
The SBAF is a $2 million fund that will provide 8% interest rate loans to small businesses for operating capital and equipment purchases.
“In the past week our offices have received numerous requests from local businesses and startups for more time to apply for this opportunity,” said Aimee Quirk, Mayor Mitch Landrieu’s Advisor for Economic Development. “In response to this demand, we want to show Mayor Landrieu’s continued support for the small business by extending the application deadline.”
Vaughn Fauria, president and executive director of NewCorp Inc., said, “In establishing SBAF, our objective was to equip our small businesses with the access to capital they desperately need to grow their businesses and create jobs in our community. To achieve this goal, we want to ensure that those qualified businesses are provided with adequate time during this first funding cycle to submit their strongest loan applications possible.”
SBAF loans are expected to range from $10,000 to $100,000. The maximum term of the loan is up to 84 months and will depend on the financing needs of the borrower. Qualified applicants will be eligible for 3 months of interest only payments. To be eligible, participants must meet the following requirements:
Domiciled in Orleans Parish;
Demonstrate that it has been unable to access capital from traditional lending sources;
Demonstrate financial and economic viability to spur growth and employ City of New Orleans residents; and
Provide living-wage employment and ownership opportunities to low-to-moderate income communities.
Existing small businesses and startups are eligible to apply. Some taxicab owners and drivers may also qualify for a loan under this fund.
SBAF is partially funded by the City of New Orleans Economic Development Fund and is a partnership between the City and the NewCorp, Inc. – the local Community Development Financial Institution (CDFI) selected to administer the program.
NewCorp will continue to provide one-on-one application assistance by appointment on Tuesdays and Thursday from 9AM – 3PM through the extended deadline. To schedule an appointment, call NewCorp, Inc. at 504-208-1700.