For Immediate Release
IBank Approves New Disaster Relief Loan Programs for Sonoma County
EDB Efforts Pay Off for Local Businesses
Santa Rosa, CA – October 26, 2017 – On Tuesday, October 24, 2017, the California Infrastructure and Economic Development Bank’s (IBank) Board of Directors approved a new Disaster Relief Loan Guarantee Fund Program and an expanded micro loan program to assist businesses affected by the wildfires in Sonoma County and other state declared disaster areas. Just days after the wildfires devastated areas of Sonoma County, the EDB reached out directly to the California Governor’s Office of Business and Economic Development (GO-Biz) to seek out financial assistance for county businesses impacted by the fires. GO-Biz Deputy Director & CA Small Business Advocate Jesse Torres contacted IBank Executive Director Teveia Brown who quickly moved to propose the creation of a Disaster Relief Loan Guarantee Program (DRLGP) and changes to the Jumpstart micro loan program to support the small businesses who suffered losses from the wildfires to real and personal property and who faced an uncertain future and financial calamity. The EDB’s Al Lerma thanked the IBank Board of Director’s at Tuesday’s meeting for their speedy actions to bring relief to Sonoma County businesses. The new finance programs will go into effect immediately.
$10 million for a Disaster Relief Loan Guarantee Program (DRLGP)
- IBank will issue loan guarantees through its partner Financial Development Corporations to help small business borrowers in declared disaster and emergency areas who need term loans or lines of credit for working capital.
- Small businesses—including small farms, nurseries, agriculture-related enterprises and nonprofits— that have suffered an economic loss and/or physical damage may apply.
- The DRLGP will help lenders and small businesses by providing loan guarantees of up to $1 million for Disaster Relief Borrowers with guarantees covering from 85-95% of lender loans.
IBank expands Microloan Program to include Disaster Areas
- IBank will expand its existing Jump Start Micro Loans—loans ranging from $500 to $10,000— to now include state and/or federally declared disaster and emergency areas in California.
- IBank established the Jump Start Loan Program in 2016 as a small loan and financial literacy/technical assistance program designed for low-income small businesses in low-wealth communities, including businesses owned by women, minorities, veterans, people with disabilities and those previously incarcerated.
How to Access Loans
Access to IBank’s Disaster Relief Loan Guarantee Program and Jump Start Loan Program can be made through its partner Financial Development Corporations (FDC). For a listing of the FDCs for each program, see the documents below or call the EDB at (707) 565-7170.
SBFC FDC Fact Sheet
SBFC Disaster Relief Loan
SBFC Jump Start Fact Sheet