The West Covina Business Assistance Loan Program is designed to assist local businesses and create jobs. West Covina through the Community and Economic Development (CED) division will make loans available to businesses creating permanent jobs. The jobs created must be permanent full-time equivalent (FTE) and made available to low-and-moderate income individuals. While its a loan program, the loans may be forgiven if the applicant has maintained compliance with the program guidelines during the 5-year loan term.
BA Loan Program Awardee:
On April 18, 2017, Gaucho Grill Argentinean Restaurant was awarded the Business Assistance Loan. They are anticipating on opening in late 2018.
For more information about the program please read the information below:
*Documents, programs, and etc. are subject to change
The Business Assistance Loan Program provides West Covina business owners a loan of a minimum of $80,000 to a maximum of $360,000. The loan amount is based on $20,000 per FTE job created. In addition, those hired will need to be low-and-moderate income individuals.
- $20,000 per permanent FTE created made available to low-and-moderate income individuals
- Maintain FTE funded by loan per term of the loan
- 5-year term. After year 5, if in compliance, loan will be forgiven
- Create a minimum of 10 jobs overall (of which 4 to 16 can count towards the FTE jobs for the loan program)
- Business owner must provide matching funds
- Demonstrate financial need
- Run credit report through Experian (fee associated)
- Provide collateral
- Business must have office/storefront and the point of sale must be in the City of West Covina
The City of West Covina Business Assistance Loan Program is funded by the United States Department of Housing and Urban Development (HUD), by authorization of the Housing and Community Development Act of 1974, Title I, as amended, Public Law 93-383. The objective of the act is to develop viable urban communities, by providing decent housing and a suitable living environment, and by expanding economic opportunities, principally for person of low and moderate income.
As such, federal funds cannot go towards businesses that are not federally compliant (for example, a medical marijuana dispensary).
For more information about the CDBG Economic Development Guidelines, please visit the HUD Exchange website.
If you have any questions concerning the program please contact Karen Ko at (626) 939-8417 or email her at email@example.com.
Business Assistance Loan Program | Fiscal Year 2017-2018
City Council had approved the Fiscal Year (FY) 2017-2018 Community Development Block Grant (CDBG) Action Plan on July 18, 2017.
Stay up to date on the Business Assistance Loan Program via the City Website and our social media (Facebook, Twitter, and Instagram) at @westcovinacity.
Additional Business Resources
For further additional business resources, please visit Resource Guide for Business.