Emergency Loans for Juneau Businesses | CBJ Assembly has funded the Juneau Economic Development Council resources for loans for small businesses in Juneau negatively impacted by Covid19. CBJ Resolution 2888 states: “The purpose of the loans administered by JEDC are to provide small businesses with working capital to bridge the time before federal or state monies are available. The absence of State or Federal assistance does not absolve the business owner for the responsibility to repay the loan.” |
(9/21) | UPDATE ON APPLICATIONS |
**We have processed all loan applications for this program. All funds have been allocated per the CBJ Resolution** |
Juneau COVID-19 Emergency Small Business Loan Conditions | |||
| TERM | The maximum loan term is 30 months. | ||
| INTEREST | The interest rate for a loan shall not exceed 2%. Loans paid back within twelve months will pay zero percent interest (interest payments will be refunded). | ||
| LOAN AMOUNT | A business with ten or fewer employees is eligible for a maximum loan amount of $25,000. A business with eleven or more employees is eligible for a maximum loan amount of $50,000. Employee count comes from the first quarter report of 2020. Loans may be made in one or two disbursements. Second disbursement will be subject to basic assessment of borrower capacity to pay/financial need. | ||
| SMALL BUSINESS | A business with more than 25 employees during the first quarter of 2020 is not eligible for a loan. A business must demonstrate it is adversely impacted by COVID-19 pandemic. | ||
| ENTITY TYPES | Any business entity is eligible, including but not limited to a for profit, a nonprofit, and a limited liability company, if the business was registered as a business in Alaska on January 1, 2020, and had a physical presence in Juneau, Alaska, on March 1, 2020. | ||
| MULTIPLE LOANS | No more than one loan may be extended to a business. A loan provided to a parent or subsidiary business disqualifies all other related parent or subsidiary businesses from qualifying for a loan. | ||
| COLLATERAL | No collateral is required to secure the loan. | ||
| SALES AND PROPERTY TAX COMPLIANCE | A business with any sales or property tax delinquency as of March 1, 2020, is not eligible for a loan. A business that is fully compliant with a confession of judgment payment plan is eligible. | ||
| EXCEPTIONS | JEDC, after receiving direction from the Manager, has the authority to make reasonable exceptions that match the intent of this emergency loan program. | ||
| LOAN PAYMENT DEFERRAL | A business may elect to defer the first twelve months of payments. | ||