Targeted Small Business Financial Assistance Program (TSBFAP)
The TSBFAP is designed to assist in the creation and expansion of Iowa small businesses that meet all of the following criteria:
- Operating for a profit
- Annual gross sales of less than $4 million
- At least 51% owned, operated and managed by women, minorities or persons with a disability
The business must be certified as a "Targeted Small Business" by the Iowa Department of Inspections and Appeals before applying for or receiving TSB funds.
Available Assistance includes:
- Low-interest loans of up to $50,000 at interest rates of 0% to 5%, to be repaid in monthly installments over a seven-year period. The first installment can be deferred for three months for a start-up business and one month for an existing business.
- Loan guarantees of up to $50,000. Guarantees can cover up to 80% of a loan obtained from a bank or other conventional lender. The interest rate is at the discretion of the lender.
- Equity grants of up to $50,000 may, in limited cases, be used to leverage other financing (SBA or conventional).
Allowable Uses
TSBFAP funds may be used to purchase equipment, acquire inventory, provide operating capital or to leverage additional funding.
Eligibility Requirements:
Contact the Iowa Department of Economic Development to determine eligibility or to obtain information specific to your needs.
To Learn More:
Phone: 515.242.4819 or 800.532.1215
E-mail: businessfinance@iowalifechanging.com
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