Alamo EDC Continues to Offer Popular Incentive

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Alamo EDC Continues to Offer Popular Incentive

Alamo EDC Micro-Loan ProgramDuring these rough times, the Alamo Economic Development Corporation continues to offer its programs to aid businesses in Alamo. One of the EDC’s most popular options is the Micro-Loan Program.

The creation of the Micro-Loan Program came in order to help local business owners with storefront improvements, repairs and renovations. This program now utilizes a micro-loan as working capital to help alleviate operating costs that business owners have trouble covering.

Updated Terms of the Micro-Loan Program Include:

  • Company owners receive a six-month window of no repayments. This also includes non-repayments of principal and interest.
  • Micro-loan recipients have the opportunity of being reimbursed with the interest paid on their loans after six months of on-time payments.
  • Stipend loans of up to $10,000.
  • Beneficiaries can secure a loan without having to put forth collateral.

To be eligible for the Micro-Loan Program, businesses must:

  • Be located in Alamo.
  • Have a U.S. resident or resident alien owning at least 51 percent of the business.
  • Provide a lease agreement for the term of the deal. Loans operate on a fixed term of two years. 
  • Be in operation for a minimum of two years or 24 consecutive months.
  • Have owner(s) with a credit score of 620 or higher.
  • Have owner(s) prove their ability to repay the debt by having debt service coverage of 1.25 percent or better.

For more information, contact the Alamo EDC.

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