Affordable Financing Available to Tacoma’s Small Businesses

-- Approximately $1 Million Currently Available to Lend --

The City of Tacoma, in coordination with the Tacoma Community Redevelopment Authority (TCRA), has low-interest financing available to help Tacoma’s small businesses grow. 

“Small businesses are fundamental to Tacoma’s economic success. They illustrate the city’s entrepreneurial spirit and account for the majority of job creation, “said Community and Economic Development Department Housing Division Manager Carey Jenkins. “Accessing the financing needed to grow, however, is often one of the hardest obstacles for Tacoma’s small businesses to overcome.” 

Affordable financing is available through a small business loan fund program. Loans range from $25,000 to $300,000, and offer favorable loan terms and a fixed interest rate as low as 75 percent of the prime rate. Proceeds may be used to acquire property; perform tenant improvements; purchase furniture, fixtures and equipment; or as working capital.

Eligibility requirements apply. Loan funds must be used to fill the gap between the total financing needed to start or expand a business and the amount the borrower will contribute to the project via a combination of equity and funding provided by a senior lender, such as a bank or community development financial institution. Small businesses located within Tacoma city boundaries that can commit to creating a minimum of one full-time job per each $100,000 borrowed may be eligible.

Approximately $1 million is currently available to lend. The small business loan fund program is made possible with money provided by the U.S. Department of Commerce’s Economic Development Administration. The financing is therefore restricted for use as small business loans.

More information about the loan program, or an application for financing, is available through Jacinda Howard in the Community and Economic Development Department jhoward@cityoftacoma.org or (253) 591-5221.