The Meriden-based non-profit Community Economic Development Fund said it is lending money to businesses that cannot obtain conventional bank loans with its Southwestern Connecticut Segmented Loan Fund.
The fund is committing $4 million to southwestern Connecticut small businesses. Businesses ranging from corner stores to small manufacturing plants are eligible for the loans.
Small businesses in need of working capital may be eligible for up to $250,000. The fund is making up to $500,000 available for small businesses looking to obtain 25-year, fixed-rate commercial mortgages on mixed-use property, or to rehabilitate existing business property.
The funds committee is targeting business owners who have a low to moderate income and are unable to obtain conventional financing. Businesses in Stamford, Bridgeport, Danbury, New Haven and the surrounding communities are eligible.
Funds for the $4 million loan pool come from the private sector and are matched by the state.
Since 1994 the organization has helped create thousands of jobs by providing money, training and support to area small businesses. It has been a leader in lending money to women-owned and minority-owned small businesses. Once a business owner qualifies, the organization offers training, business counseling and support to the approved business.
The Southwestern Fund was established after the agency created a similar fund in Eastern Connecticut. Launched in 2003, that fund lent nearly $4.7 million to small businesses in eastern Connecticut and helped in job creation.
”“ Ryan Doran
