San Diego County supervisors unanimously agreed Tuesday, Sept. 29, to develop the county’s $5 million small enterprise mortgage COVID reduction program regionwide to small companies working in cities.
Supervisors in late April established the mortgage program initially to assist companies within the unincorporated areas which can be experiencing hardship from the COVID-19 pandemic. This system had $5 million to allocate however almost $1 million has been loaned thus far.
On the time, solely companies within the unincorporated areas with fewer than 50 workers might qualify for loans, which could be as giant as $50,000 with as much as 2 % curiosity. The loans should be paid again inside two years.
Nonetheless with Tuesday’s motion, all qualifying small companies in San Diego County — together with these working in cities — can now apply for the loans.
To this point this system has offered 27 companies with loans totaling $827,000, and one other 4 companies are closing on loans totaling $125,000, in accordance with county paperwork.
County supervisors stated Tuesday that $4 million presently unallocated will present vital reduction to many extra companies.
“It solely is sensible to open it as much as extra companies within the area,” stated Supervisor Dianne Jacob, who co-authored the proposal with Supervisor Jim Desmond. “Companies are nonetheless struggling and will use one other lifeline to get them by way of this pandemic.”
Companies working within the unincorporated areas will nonetheless obtain precedence.
Increasing the small enterprise mortgage program is considered one of a number of steps supervisors have taken in latest months to help small companies in the course of the pandemic.
Earlier this summer season county supervisors established a stimulus grant program utilizing a number of the remaining CARES Act funds from the federal stimulus package deal. That program offers every of the county’s 5 supervisors $3.4 million to distribute in grants, in addition to $700,000 every to give attention to eating places.
So way over $14.5 million in grants have been distributed, helping hundreds of companies.
In early August the board additionally unanimously adopted a proposal to streamline the application process and waive allow charges, so homes of worship and gymnasiums that may’t function indoors below public well being restrictions can reserve house in county parks.
Many cities all through the area even have stepped up with mortgage and grant applications concentrating on small companies.
On the finish of March, the Metropolis of San Diego accredited a $6.1 million reduction package deal that included grants and loans — from $10,000 to $20,000 — for metropolis companies with `100 employees or fewer, whereas the Metropolis of San Marcos put aside $3 million for a enterprise sustainability mortgage program.
In April the Metropolis of Poway created a $2 million enterprise mortgage program for companies with 50 or fewer full-time workers, and the Metropolis of Coronado opted to attract $2 million out of its reserves to assist a “Lifeline Business Loan program.”
—Charles T. Clark is a reporter for The San Diego Union-Tribune