Could your business benefit from financing help? If so, you might consider the new loan program launched by Illinois State Treasurer Mike Frerichs.
Frerichs’ office has partnered with local community banks to offer $500 million in loans to new and expanding small businesses at below-market rates. To be eligible to participate, banks can’t have more than five branches, and at least one of the branches must be located in an “enterprise zone,” or area that’s economically hurting.
As part of his job to invest state funds, Frerichs is using a portion of the $12 billion he oversees to fund this program, called Community Uplift. Instead of earning money on investment earnings, the state will earn money via interest payments from loan recipients. Ultimately, the goal is to improve economic health, growth, and tax revenue in downstate Illinois.
“The greatest driver of economic development is frequently in small business growth,” he told the Peoria JournalStar. “By investing in rural Illinois, we expect we get an added dividend.”
