minority business recovery & growth loan fund
The Minority Business Recovery & Growth Loan Fund provides access to capital for existing minority-owned businesses inside the City of Pittsburgh that are recovering from COVID-19 or growing.
Program Terms and Conditions
- Loan Amount: up to $100,000
- Interest rate: 0% for first 3 months, 2% for balance of loan term
- Loan payment deferral period: 3 months, then interest-only payments for 6 months
- Loan Terms: 10 years
- Fees: none
- Pre-payment penalties: None
- Collateral/security: Personal guarantees or business and corporate guarantees as appropriate, other security as deemed appropriate by the URA
- Use of funds: Hiring and payroll, inventory, sales/marketing, e-commerce, rent, utilities, insurance, and other approved fixed costs related to business recovery or growth
- Be at least 51% minority-owned. The Small Business Administration (SBA) defines a minority-owned business as one in which the majority (at least 51%) of the company is owned and run on a daily basis by a member (or collection of members) of one of the following ethnic groups:
- African Americans
- Black Americans
- Asian Pacific Americans
- Hispanic Americans
- Subcontinent Asian-Americans
- Native Americans
- Have been in business for at least one year
- Have fewer than 50 Full-Time Equivalent (FTE) employees
- Demonstrate pre-COVID crisis business viability
- Be in good standing with other public debt (including URA) and current on taxes (individual and business) or have approved payment plans
- Have appropriate business registrations with the City of Pittsburgh
- Provide statement of need and a recovery or growth narrative addressing health & safety compliance measures with which the business will be tasked. Statement of need will include: How the business has faired in the COVID-19 environment; and next steps for business recovery or growth, including other funds secured.
- URA’s Emergency Loan Fund (ELF) borrowers and other existing URA small business borrowers can apply.
- Priority will be given to supporting neighborhood business district serving businesses; including independently owned, locally owned, small businesses.
- Priority will be given to businesses located in Community Development Block Grant (CDBG)-eligible census tracts and whose owners are economically disadvantaged.
- Businesses funded with CDBG monies must meet all CDBG eligibility requirements.