Arizona Launches $5 Million Microbusiness Loan Program
August 12, 2024
Delaney Sexton
Contributing Editor
Arizona Launches $5 Million Microbusiness Loan Program
“By providing accessible capital and innovative products through our Alternative Loan Program, we’re not just supporting individual entrepreneurs; we’re investing in the economic resilience and vibrancy of our entire region,” says Caroline Nelson, the Community Investment Corp’s chief operating officer and director of lending.
The Arizona Office of Economic Opportunity (OEO) and Governor Katie Hobbs launched the Arizona Microbusiness Loan Program which offers qualifying borrowers loans of up to $50,000. The program was allocated $5 million for Arizona-based microbusinesses, defined as businesses with five or fewer employees. In Arizona, there are more than 85,000 microbusinesses that collectively employ around 155,000 people. This program helps entrepreneurs who often face difficulties when securing loans.
The OEO selected five microbusiness lending programs run by six organizations to administer the $5 million program. The lending partners are Growth Partners Arizona, Native Community Capital, Community Investment Corporation (CIC), Groundswell Capital, Border Financial Resources, and Verde Valley Regional Economic Organization.
“Small businesses are the backbone of Arizona’s economy,” says Governor Katie Hobbs. “My administration is focused on building an economy that works for everyone, and this program gives our smallest businesses, our microbusinesses, the opportunity to grow and thrive. By investing in these microbusinesses, we are putting money directly in Arizonans’ pockets, creating quality jobs, and strengthening local communities.”