On Monday, the Pennsylvania Industrial Development Authority (“PIDA”) approved Monday $61 million in low-interest loans for the state’s small business owners, according Senator Scott Martin (R-13).  According to the Senate release, loans of up to $100,000 will be available through the Pennsylvania Commonwealth Financing Authority for businesses with 100 or fewer full-time employees to use as working capital.  In addition to a low interest rate, there will be no application fees, and the terms will include no payments and no interest during the first year of the loan.  Martin said turnaround on loan approvals could be made in “a matter of days,” after the application period is opened.  All PIDA loan applications will be required to be submitted through a Certified Economic Development Organization (CEDO).  We expect that more information will be released on the program soon.

Contact either Lawrence Maiello or John H. Prorok of Maiello, Brungo & Maiello, LLP’s Business Law Team for guidance on determining if your business is eligible for a loan and for assistance in completion and submission of the loan application.

John Prorok & Lawrence Maiello

John H. Prorok possesses an invaluable understanding of privately held business owners’ needs in business planning, corporate formation, and transactions. He frequently speaks and counsels emerging and start-up enterprises, offering insightful legal strategies toward success.

Lawrence Maiello acts as general counsel to emerging and mid-sized businesses, and offers business strategies to business owners and entrepreneurs at the Small Business Development Center at the University of Pittsburgh.