Most of the Funding for Food and Beverage Industry
Mayor Joe Hogsett and the Indy Chamber created a rapid-release loan fund for small businesses in central Indiana that have been hurt by the COVID-19 outbreak. The goal is to raise $10 million for the fund.
Nearly $3 million has already been committed to the fund, including $1 million from Indianapolis-based Anthem Inc. and $1.5 million from the city of Indianapolis. The Indy Chamber said it is calling on the business and philanthropic community to help it reach its $10 million goal.
The city’s contribution includes $500,000 from the Indianapolis Local Public Improvement Bond Bank and $1 million from the Capital Improvement Board. The CIB funding has been earmarked for the food and beverage industry, which has been hit hard by restrictions related to the pandemic.
CIB-funded loans will offer working capital to existing food and beverage industry entrepreneurs to keep their businesses afloat, providing bridge loans while traditional financing or disaster recovery loans from the U.S. Small Business Administration materialize, which is expected to take four to six weeks.
Other initial funders include the Indy Chamber, which contributed $300,000, and LISC Indianapolis, which gave $75,000.
The announced commitments, combined with the loan fund’s existing $840,000 balance, bring the fund to just more than $3.7 million.
Businesses in the nine-county region will be eligible for loans. Loans will range from $1,000 to $25,000, depending on need.
The Rapid Response Loan Fund will be administered by the chamber’s Business Ownership Initiative (BOI) and other partners. BOI recently pivoted its focus to emergency assistance for small businesses affected by COVID-19 via free one-on-one business coaching and access to lending capital.
Indy Chamber staff, as well as faculty and alumni of the IU Kelley School of Business at IUPUI, leaders of the Indianapolis Bar Association, communications professionals at Vox Global, and other experts are on call to field small business questions.