The Pennsylvania Industrial Development Authority (PIDA) approved funding today to provide $61 million in low-interest loans to Pennsylvania small businesses impacted by the COVID-19 public health emergency, according to State Senator John Yudichak.
Loans of up to $100,000 will be available through the Pennsylvania Commonwealth Financing Authority (CFA) for small businesses with 100 or fewer full-time employees to use as working capital. In addition to a low interest rate, there will be no application fees, and the terms will include no payments and no interest during the first year of the loan.
Funding for the program was made possible by the CFA’s transfer of $40 million in funding to PIDA. That money will be combined with existing funds in PIDA’s Small Business First Program to provide low-interest loans to small businesses.
Senator Yudichak said PIDA’s priority is to ensure that when the application period is opened and businesses start to apply, the turnaround time for loan approval can be a matter of days. He said more details will follow as soon as the information is available.