A loan program that launched Aug. 1 in Iowa is starting to reap dividends for the state's small businesses.
The $5 million Iowa Small Business Loan Program provides loans up to $50,000 to with an interest rate of 3.9% to small businesses. As of Oct. 1, 46 are in the loan process with the state's Small Business Development Centers. Eight approved businesses have been awarded $375,000 in capital, which has leveraged $325,000 in additional co-financed capital. Of the eight businesses, two were start-ups and six are existing businesses. Thirty-two full-time and 16 part-time jobs have been created or retained.
The Iowa legislature created the loan program after iscussing concerns with small business owners this past legislative session.