Jonesborough Business Loan Program | New
By SERINA MARSHALL
Personal Editor [email protected]
Downtown Jonesborough business owners will have access to a new financial opportunity
to buy or renovate their property.
A loan project made possible by the First Tennessee Development District, part of the Northeast Tennessee Economic Development Corporation, will give Jonesborough business owners the opportunity to renovate, update or add equipment to their property through the downtown loan program.
Already available to business owners in Erwin, Greeneville and Johnson City, the program offers low-interest loans to qualified borrowers.
During the loan check presentation held Friday at the International Storytelling Center, Ken Rea, deputy director of the First Tennessee Development District, said the downtown loan program will bring some benefits to downtown Jonesborough. .
“The main advantage is that it is funds to help in two ways. First, if a company buys a building and wants to carry out renovations, they can obtain bank financing, but we can help with the deposit, in part”, Rea said. “And the example in our brochure is the bank that makes a loan of $144,000, and they ask the business for $40,000 and we can invest $25,000 in that $40,000 and the business only has to invest $15,000 versus $40,000.
“Hopefully we will be making loans to businesses in Jonesborough town center soon,” he added.
A check for $125,000 was presented to the municipality on Friday.
Rhea added that the First Tennessee Development District made the decision to do the program in the fall and already had a Jonesborough business that wanted their roof repaired.
“We can do direct loans and use $14,000 to fix his roof,” Rhea said. “So we have already given a loan to a company in Jonesborough. It just happened that it happened like that.
Jonesborough Mayor Chuck Vest said he looks forward to the benefits this program will bring to downtown small business owners.
“I think it’s going to allow our businesses to maybe buy some new equipment to help them grow their business, which will improve their finances, but also allow them to hire more staff as their business grows.” , did he declare.
The success that city manager Glen Rosenoff has seen of the program at Erwin led him to start studying it for Jonesborough about a year ago.
“With him (Rosenoff) and Jonesborough Tourism Manager Cameo Waters working together, they finally made it happen,” Vest said.
Rosenoff added that he thinks the program will be a “huge success.”
“There’s money, there’s people, they want to invest in our downtown and now we’ve kind of brought them together under one economic tool,” Rosenoff said.
Rhea’s goal for the loan program is to help businesses get started and make any repairs they need, and he explained there are similarities to the new program and getting a loan. loan through a bank.
“Generally, the company should gather financial information similar to what you would gather for a bank,” he said. “We need to get the financial information. I have a loan committee that needs to review the loan file. Then we approve the loan. Sometimes there is some construction involved, so it takes a bit of time. But we work with the company throughout the process, from start to finish. »
If you are a business seeking such a financial opportunity, please contact the First Tennessee Development District at (423) 928-0224. Or you can contact Rhea directly at (423) 722-5098.