Economic Development News
|
|
From Our Executive Director
|
We are certainly facing one of the biggest disruptions of our time right now. We know it’s extremely difficult and we have a hard road ahead. Information changes on a daily basis, and it is difficult to know how to move forward, but you are not alone. We are honored to be here as a resource for the community and to offer financial support to help our businesses get through this.
In between a dozen Zoom meetings and briefings, I’ve been trying to keep up on the latest ways our small businesses are pivoting and the new grassroots initiatives to support all members of our community. I am impressed with the innovation and resilience we are already showing. In the midst of this challenge, our region is coming together and offering much-needed support.
We are making sure to monitor all of our funding partners like the SBA so that we can pass along any new updates that might support you and our local businesses.
—Ross
|
|
An Overview of COVID Related Funding Programs
|
|
PPP (Paycheck Protection Program)
As an SBA 7(a) lender, AEDC is qualified to offer PPP loans for clients and others within our six-county service area. We have processed loans in Humboldt, Del Norte, and Mendocino Counties. We are able to process loans up to $250,000 and will continue to do so in the order they are received.
It is important to note that while the Payment Protection Program is a part of the Federal CARES Act, these loans must be funded in-house. Because of that, our applications quickly surpassed AEDC's available funds. Fortunately, additional funding has been provided from partners like the Headwaters Fund and the Humboldt Area Foundation.
To date, AEDC has funded $4M in loans to 47 businesses.
|
|
City of Arcata BRELP Business Resiliency Emergency Loan Program
In response to businesses heavily impacted by COVID—19, the City of Arcata has committed to providing technical and financial support to Arcata’s businesses in order to help them stay afloat with the resulting economic downturn. AEDC is providing servicing and support for these loans. To date, we have funded 11 loans for $107,344. With the new Business Resiliency Emergency Loan Program, loans of up to $10,000 are available to Arcata businesses under the following requirements:
- They have a demonstrated reduction in income due to COVID—19
- They are not able to secure a traditional bank loan
- They meet with an SBDC business advisor (standing by today) to review the best use of funds to shore up their businesses
- The loans require 2.5% simple interest
- The loan has deferred payment for 6 months and then can convert to a traditional bank loan or the City will carry it with a 5-year loan repayment
To learn more or start your application process click the button below:
|
|
Crescent City Emergency Loan Program
To help support small businesses as they are impacted by COVID —19, the City of Crescent City, County of Del Norte, and community partners are working with AEDC to be able to offer up to a total of $140,000 in zero-interest loans through the new Small Business Stabilization Program. This program will provide secured loans of up to $5,000 per business, with the first loan payment being deferred until 90 days after the local emergency is terminated or September 1st, 2020 whichever is later. To date, AEDC has made loans to eight businesses for $40,000 total.
- To qualify your business must be facing hardship due to COVID—19. Funds may be used to cover the day-to-day operating expenses of the business such as payroll or rent. Other eligibility requirements include:
- For-profit, independently owned local business
- Businesses with fewer than 5 employees
- Physical establishment within the County of Del Norte
- Current City business license (if applicable) and in operation as of March 1, 2020
- Have a demonstrated hardship due to COVID—19, such as a loss in revenue
- Funds shall be used for operational needs such as lease/mortgage payments, payroll, materials, supplies, and services
- Comply with the City’s non-discrimination policy
- One time loan per business
- Be in good standing with the City of Crescent City and County of Del Norte as of February 1, 2020 (e.g., current on utility bills, no liens or judgments, etc.)
Thankfully, this program is made possible by the Hess Foundation. With additional support by South Fork Big Flat Fund, Baird and Jane Rumiano Fund, Caldwell Clan Fund, and Nick and Lisa Rail Fund.
Submit your application and required documentation by email to hwendt@crescentcity.org
Learn more here:
|
|
Intentional Marketing Strategies for Resilient Businesses
|
|
As entrepreneurs, we are action-oriented. We got into business to help others, to connect, and to solve problems. None of us saw this coming when we sat down to envision our goals for 2020. And it feels overwhelming to try and piece together our businesses and our communities when the most important thing we can do is stay home.
In the liminal space of the unknown, we are trying to wrap our minds around the bigger picture of what this will mean for us and navigating the triage of support needed to keep our businesses afloat. This crisis is requiring each of us to find new muscles of resilience.
A simple definition of resilience is "advancing despite adversity." As business owners and leaders, we don't have the option of retreating and waiting for all of this to blow over. We must continue to move forward despite the unprecedented challenges we are facing right now. It’s a lot to take on, but you don’t have to go through it alone. I created a resource to guide you through some ways to become more resilient during this crisis and in the rebuilding.
These are the three elements to developing resilience in my business, and the elements this free workbook will guide you through:
1: Return to your mission.
You started your business because of a genuine desire to help people. That "why" behind what you do is the strong foundation for your marketing—especially now.
Take some time to reconnect to your mission and core values, and consider how that purpose is relevant to the problems your clients are facing in the midst of this crisis.
2: Pivot your goals.
The plans you made in January may not be applicable right now, but intentionally rethinking your goals and rooting it in tangible actions you can focus on will help you not only stay grounded in this period of unknown but also set a smoother path for rebuilding afterward.
This is also an opportunity to check in and give yourself permission to have grace with yourself at this time.
3: Create a sales funnel.
One of the most effective ways to help your business survive and thrive through this crisis and beyond is to create an intentional strategy to help current and new clients grow to know, like, and trust you. Build and refine your sales funnel, tailored to the unique problems your clients will be facing.
Don’t stay stuck in overwhelm. Get your free resource today to start making your business more resilient.
|
|
Get the Resources and Support You Need
|
|
Here is a round up of essential resources and help for our local small businesses and organizations.
If you have any questions that are not specific to an AEDC loan, the COVID Business Information line is 707-268-2527. The line is for business owners/managers/employees who are looking for business-related resources and/or support services related to the COVID-19 Crisis.
Please do not hesitate to reach out to us and let us know if we can better support any of your needs.
|
|
Arcata Economic Development Corporation
Fax: (707) 798-6130
Tel: (707) 798-6132
707 K Street, Eureka, CA 95501
Newsletter produced by
|
|
|
|
|
|
|
|
