Area Business Could Receive Federal Loans
Small businesses in Pacoima and 34 other communities nationwide can benefit from a new federal loan program designed to aid communities suffering from high unemployment, Rep. Howard Berman (D-Mission Hills) announced Tuesday.
The program, which provides as much as $750,000 in Small Business Administration loans to eligible businesses, was created as part of the North American Free Trade Agreement in 1993 but only went into effect in August, Berman aides said.
“This program helps communities affected by changing patterns in world trade,” Berman said. “I am pleased to see that Pacoima made the list. The loans could give a needed boost to the local economy.”
Pacoima is the only community in Los Angeles County to be included in the program. Two other California cities, Santa Ana in Orange County and Watsonville in Santa Cruz County, are also included.
Under the program, loans and loan guarantees worth as much as $750,000 will be made available through the SBA and the North American Development Bank.
The NADBank is an international financial institution jointly funded and governed by the United States and Mexico to spur investment in both countries, officials said.
To be eligible for the program, a small business must be located in Pacoima, meet conventional SBA loan and size requirements and be able to show that it will create or retain one job for every $35,000 of the loan amount.
For more information, call the NADBank at (562) 908-2100.
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