Steve Letavic
Susquehanna River
Smiling Kids
Sunset Park
Barn
Horses
Find Us On Facebook
Posted Wednesday, March 25, 2020

Financial assistance for small businesses impacted by the corona virus

The PIDA-CWCA loan program is now accepting applications.  Please note this program is first come first serve and is expecting to have high demand.

PIDA COVID-19 Working Capital Assistance Fund (CWCA) - https://dced.pa.gov/programs/covid-19-working-capital-access-program-cwca/

 

Note: Must apply through a Certified Economic Development Organization. CEDOs in our area:

  • Cumberland Area Economic Development Corporation –

o Webpage - https://cumberlandbusiness.com/news/covid-19-working-capital-assistance-fund-cwca-now-open/

o Email to send requests: cwcarequest@cumberlandbusiness.com

  • Capital Region Economic Development Corporation

o Intent to apply form at bottom of page: https://www.harrisburgregionalchamber.org/cwca/

o Email to send information: credc@hbgrc.org

o Website: http://edclancaster.com/covid-19/

o Email to send information: apply@edcfinancecorp.com

Eligibility Requirements

CWCA loans are available to Pennsylvania for-profit businesses with less than 100 full-time employees worldwide. Applicants will be asked to prove that they have spent the requested loan amount in the past 3 months on direct business expenses such as payroll, utilities, rent, inventory etc. Additionally, retail and specific service-based organizations will be asked to demonstrate a 1:1 match on business expenses over the past six months – i.e. such businesses will need to verify they spent at least $200,000 on direct business expenses in order to request the maximum $100,000 loan amount.

CWCA Loan Highlights

  • $100,000 maximum loan per business
  • 3 year term; 12 year amortization
  • No payments for initial 12 months; monthly amortized payments for the following 24 months; one sum payment for the remaining balance in the 37th month
  • 0.00% fixed interest rate for businesses; 2.00% fixed interest rate for production agriculture
  • Personal or corporate guarantees are required for all individual and/or corporate business owners owning greater than or equal to 20% of the applicant business

 A few notes on these loans:

  • Application guidelines are now available on the websites listed at the top of this page.

Businesses should note that loans will be allocated on a first come, first served basis state-wide. Demand is expected to far exceed supply and businesses will be turned away.

  • Applicants will need the following information:
  • A company profile sheet.
  • A summary of the economic hardships experienced by the business, including the business closure date (if applicable).
  • A signed W-9 form for the applicant business.
  • A signed business entity certification.
  • Most recent year financials (accountant prepared or filed tax returns).
  • Interim financials last full year statements through current OR an income statement.
  • A debt schedule summarizing existing business debt and required monthly payments.

For the guarantors (individual and/or corporate business owners owning 20% or more of the applicant business):

o A signed certification sheet

o Individual guarantors: a signed Personal Financial Statement dated within the last 12 months

o Corporate guarantors: most recent year of financial statements