The Manhattan Area Chamber of Commerce has submitted a formal request to the Manhattan City Commission to create a loan fund for local small businesses impacted by the COVID-19 pandemic.
The program would be established for an immediate need, defined as less than 14 days, that is determined to be a detriment to the long-term sustainability of the business. The goal would be to review and fund any approved applications in less than two business days. The Chamber would also provide technical assistance to the applicant in identifying funding opportunities to secure a longer-term solution to the current situation.
According to Jason Smith, president and CEO of the Manhattan Chamber, the program would not be a replacement for local, state or federal financial assistance, but rather a bridge for an emergency a company may be facing.
"We know this is an unusual request," Smith said in a letter to the commission. "However we cannot think of a time where so many businesses are being disrupted for an issue they had no hand in creating. The most vulnerable are our independent, Manhattan-based businesses. These are the entrepreneurs and small business owners that help create our community identity and culture. We must do anything we can to help them survive this crisis."
The request is for $500,000 from the city's economic development fund. All Manhattan businesses would be eligible to apply if they meet the criteria. A business would be eligible for up to $5,000 or $10,000 to $20,000 for certain circumstances in a zero percent interest loan to be paid back over three years with a four-month deferral period.
The Chamber would repay the city as the funds are paid back.
Information and the application process will be available pending approval from the Manhattan City Commission at www.manhattan.org beginning Wednesday, April 1, and 8 a.m.