HOUSTON - A forgivable business loan program has been created for businesses located in Harris County.
Precinct 2 Commissioner Adrian Garcia made the announcement Thursday afternoon.
Commissioner Garcia’s office established and negotiated the guidelines of the $10 million program that was passed in Harris County Commissioners Court earlier this week. The Houston-Galveston Area Council (HGAC) will administer the loans.
A business qualifies for this loan program if it has a tangible net worth not more than $15 million, and an average net income of $5 million or less after federal income taxes for the preceding two years prior to applying.
The zero-interest loans go up to a maximum of $25,000. The loans come with a grace period of three months on a five-year term.
After five years, if businesses were in compliance of the program, 100% of the loan will be forgiven.
"The idea is simply to provide a 'shot in the arm' to area businesses that are struggling," says Garcia, "and help them keep their employees on staff and their doors open."
Of course, it is a first-come, first-served program with several eligibility rules.
Among the eligibility requirements, a business must have been in operation on or before January 1, 2019 and property taxes must be in good standing.
Those who want a loan must provide evidence of how their business revenue has been and/or will be negatively impacted because of government restrictions or other challenges due to coronavirus COVID-19.
For more information and to apply now go to harriscountyloan.com.