Some small businesses in Arizona can now request small loans of $50,000 and under, the governor’s office announced last week.
Dubbed the “Arizona Microbusiness Loan Program,” it uses $5 million in funding allocated from the legislature last year to distribute loans using partners financial institutions at the local level. A microbusiness in Arizona is defined as those with five or fewer employees, according to a news release.
“The [Community Development Financial Institution] and non-profit community partners selected to participate and administer the loans to microbusinesses are well recognized as champions in their communities,” OEO Cabinet Executive Officer Carlos Contreras said in a statement.
According to the governor’s office, there are roughly 85,000 businesses in the state with 155,000 employees in total. The loans are seen as a way to encourage business growth in the state, particularly in regions or among groups that could see a high benefit from increased economic development, such as in rural communities.
