U.S. Department of Commerce Invests $1.5 million in CARES Act Recovery Assistance to Establish a Revolving Loan Fund to Serve Businesses Across Delaware
WASHINGTON – Today, the U.S. Department of Commerce’s Economic Development Administration (EDA) is awarding a $1.5 million CARES Act Recovery Assistance grant to the Delaware Division of Small Business, Dover, Delaware, to establish and administer a Revolving Loan Fund (RLF) that will provide critical gap financing to businesses adversely affected by the coronavirus pandemic across Delaware. This EDA grant is expected to help create 1,500 jobs and retain 500 jobs.
“EDA is committed to helping communities across the nation fight economic hardships brought on by COVID-19,” said Dennis Alvord, Acting Assistant Secretary of Commerce for Economic Development. “This new Revolving Loan Fund will provide critical gap financing to help Delaware’s small businesses recover from the coronavirus pandemic.”
“We remain focused on supporting the Delaware small businesses, workers and families most affected by this COVID-19 crisis,” said Governor John Carney. “This new program will help us get additional support to more Delaware small businesses, an important step in rebuilding our economy.”
“Small businesses are the backbone of our economy in Delaware, and, due to the pandemic, too many small business owners and workers have found themselves in dire circumstances through no fault of their own,” said Senator Tom Carper, Chairman of the Senate Environment and Public Works Committee, which oversees the Economic Development Administration. “I was proud to fight for funding in the CARES Act to provide much-needed relief for the small businesses on which so many of us rely every day. I’m pleased to see that this EDA grant will be put to good use right here in the First State to keep businesses afloat and workers on payroll until this pandemic is finally in our rearview mirror.”
This project will provide access to capital across all three Delaware counties, with an emphasis on the small businesses that were forced to close to protect human health and safety. The RLF will be a crucial resource to help the state’s communities recover and build back stronger.
This project is funded under the Coronavirus Aid, Relief, and Economic Security (CARES) Act (Public Law 116-136 PDF), which provided EDA with $1.5 billion for economic assistance programs to help communities prevent, prepare for, and respond to coronavirus. EDA CARES Act Recovery Assistance, which is being administered under the authority of the bureau’s flexible Economic Adjustment Assistance (EAA) (PDF) program, provides a wide-range of financial assistance to eligible communities and regions as they respond to and recover from the impacts of the coronavirus pandemic.
About the U.S. Economic Development Administration (www.eda.gov)
The mission of the U.S. Economic Development Administration (EDA) is to lead the federal economic development agenda by promoting competitiveness and preparing the nation's regions for growth and success in the worldwide economy. An agency within the U.S. Department of Commerce, EDA makes investments in economically distressed communities in order to create jobs for U.S. workers, promote American innovation, and accelerate long-term sustainable economic growth.