03/14/2019 | Press release | Distributed by Public on 03/14/2019 16:08
The City of Eugene is working to bolster new and existing businesses and the arts community by offering fixed-rate, low-interest loans.
'Small businesses are the core of our economy,' says Aaron Doreen, Business Loan analyst for the City of Eugene. 'These loans are designed to attract new businesses to the community, as well as provide capital to help already-existing businesses expand and hire new employees.'
Since 1983, the City of Eugene has loaned over $22 million to more than 250 Eugene businesses, creating more than 2,000 new jobs and leveraging an additional $81 million in private investment.
Thomas Pettus Czar, co-owner of The Barn Light, says a loan from the City allowed him to open his coffeehouse and bar in downtown. 'This loan not only helped us to execute our vision for our business, but we felt comfortable and confident that we could repay it within five years of operation. Beyond the capital we received, the relationships that we were able to build with the City have been invaluable and certainly not something we would have received with traditional lending.'
Doreen says, 'The City's loan program isn't designed to compete with a bank, rather it's a resource to provide additional funding, needed to make projects happen, or to fund a start-up business that may not be considered bankable yet.'
Made possible through a collaboration of the City of Eugene and the Arts and Business Alliance of Eugene, Art Loans-ranging from $10,000-$100,000-encourage Eugene businesses, artists and nonprofits to incorporate art in a way that promotes economic growth. This could include paying for new signage, a mural on the side of a building, or bridging a gap in funding for events or performance expenses that are later secured by event revenue or box office receipts.
The goal of this loan is to help businesses hire more employees. These loans-ranging from $75,000-$500,000-are predominantly used for the purchase of machinery and equipment and for working capital. For every $35,000 the City lends, one full time equivalent position(s) must be created.
These funds-ranging from $75,000-$500,000-are available for projects in Eugene's Downtown Urban Renewal District and are used primarily for new construction, building rehabilitation or renovation, facade enhancements, tenant improvements and accessibility projects.
River Loans offer flexible financing to support projects that contribute to the renewal and redevelopment of the City's river district along the Willamette River. These funds can be used in a variety of ways, including new construction, building rehabilitation or renovation, facade enhancements, tenant improvements and accessibility projects.
Learn more at eugloans.org