Coronavirus: East Providence Businesses Awarded $45K In Loans

EAST PROVIDENCE, RI —The East Providence Mayor's Office announced on Friday that nearly one-third of the city's allocation of $150,000 in its small business loan program has been allocated to 11 local businesses. The city's Planning and Economic Development office designed the program to get through the financial hardships associated with the new coronavirus health emergency.

"This is a difficult time for everyone, especially our small businesses — these loan programs provide the much needed financial relief to our local salons, landscaping business and gymnastic studios, to name a few," East Providence Mayor Bob DaSilva said. "And the great news is we have additional funds allocated to help additional small business."

The Mayor's Office said Jennifer and Christopher Voll, owners of three East Providence businesses, including Cypress Design Co. and East Side Construction, needed support for themselves and their 15 combined employees, and received it through the program.

"All of our businesses have been impacted by this pandemic," Jennifer Voll said. "Immediately I got in touch with RI SBA's Dennis McCarthy and he mentioned that the City was the first to be offering small business loans.

"It was another source to keep our employees on staff and doors open," she added. "This is absolutely going to help with overhead, vendor bills and utilities. This will be a huge help."

The Community Development: Job Retention Loan Program, includes no payments for six months and no interest for the life of the loan, and the Urban Development Action: COVID-19 Small Business Assistance Program offers no interest, no payments for six months.

The two programs, which are supported with existing federal grant funds, are intended to address the short-term financial needs of local businesses and those who are self-employed. The two programs are designed to provide the necessary funding to cover the businesses’ various financial needs including: payroll, rent, utilities and other fixed expenses.

The City's loans do not preclude borrowers from accessing any other loan source. City loans cannot be used to pay for the same itemized expenses that other loans will be used for. The city has also modified the payment schedule for seven existing loan participants. Payments on current loan programs will be deferred for three months beginning this month.

Small business applications can be found here.

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