The North Carolina Small Business Recovery Fund
Loan Details:
- The fund provides gap financing as a complement to Small Business Administration and other disaster recovery programs. An SBA turndown does not disqualify applicants for these funds
- Loan Amount: Starting at $1,000, with no maximum loan size
- Loan Terms: Up to 10 years
- Average Rates: Between 5% and 9% (evaluated on a case-by-case basis)
- Up to two years no interest and/or deferred payments (evaluated on a case-by-case basis)
Loan Eligibility:
- Business must document physical damage or economic injury resulting from Hurricane Matthew, the western wildfires, Tropical Storm Julia or Tropical Storm Hermine
- Business must have at least one employee (including owner) or the business must use loan proceeds to make improvements to a commercial or residential property that will be occupied by a tenant displaced as a result of the disaster
- Proposed use of funds may not duplicate or overlap with other disaster relief programs; and will be limited to documented business expenses necessary for disaster repair, mitigation or operational expenses.
- Any individual with greater than 20% ownership in the affected business must cosign the loan. Only one loan per individual.
Resilience Planning:
Our Business Services Team will work with business owners to develop a customized plan to address:
- Prevention/Recovery Strategies
- Future Loss Mitigation
- Business Continuity Planning
For more information about resilience planning resources, consultation and workshops in your area, contact Joe Battle at jbattle@carolinasmallbusiness.org
Emergency Bridge Loan Program Client Success Story
Medical Arts Pharmacy of Cumberland
Medical Arts Pharmacy is a unique neighborhood drugstore owned by devoted entrepreneur, Christina Washington, in Fayetteville, NC. After attending Pharmacy school in Cincinnati, Ohio, Christina moved to Fayetteville, NC, with her husband, where she’s been living now for 29 years.
In 1993, Christina decided to open Medical Arts Pharmacy with a goal to offer the best services to her community. The Pharmacy specializes in prescriptions, home health supplies, diabetes education and offers free delivery.
In October 2016, the Pharmacy was unexpectedly affected by Hurricane Matthew. The Pharmacy was flooded with up to 9 feet of water causing damage to the building and all inventory. Aside from these losses, Christina was no longer able to afford to pay her employees. That’s when Christina applied for Carolina Small Business Development Fund’s Emergency Bridge Loan Program and was able to obtain capital for inventory and retain her employees.
