The Government of Puerto Rico, and the Puerto Rico Department of Housing (PRDOH), is proud to announce the launch of the Small Business Financing Program (SBF), financed with funds allocated by the Department of Housing and Urban Development (HUD). The Program will initially offer grants that will assist in recovery of small businesses following Hurricanes Irma and Maria.
SBF will provide a Recovery Grants phase (grants awards of up to $50,000) for working capital and moveable equipment for small businesses and microenterprises that suffered physical and/or financial losses due to the Hurricanes. Following the Recovery Grant phase, SBF will offer the ability to apply for flexible loans to further implement economic recovery. The Recovery Grants will assist economic recovery across the Island by creating new jobs, retaining current employees, and attending the urgent need for assistance that many small businesses in Puerto Rico have as a result of damages caused by the storms.
FAQs about Small Business Financing
Small businesses and micro-enterprises on the island may apply for assistance through the web application. When applying the Applicant must provide evidence of:
- Hurricane-related damage or disruption
- An unmet need for recovery and growth or creation and retention of low to moderate Income jobs
The Economic Development Bank of Puerto Rico (BDE by its acronym in Spanish) will serve as General Manager of the SBF Program under a subrecipient agreement. The BDE will be responsible for managing all major aspects of the Program;
○ Perform CDBG-DR compliance reviews
○ Conduct admission and eligibility reviews
○ Implement financial management and compliance reports
○ Perform award calculation and draw schedules
○ Provide applicant and customer support
○ Prepare grant agreements and related documents
○ Maintain accurate records and documentation
For Eligibility Requirements, please access the Program Guidelines published on the website here.
Businesses qualify as Small Businesses or Micro Enterprises may apply to the Small Business Financing Program.
- Small Businesses: defined as a business composed of 75 employees or less.
- Micro enterprises: For the purposes of the CDBG-DR program, a micro-enterprise is a company that has 5 or fewer employees, one or more of whom owns the company. This includes an autonomous individual.
For Eligibility Requirements and other program information, please access the Program Guides published on the website here.
Through the Recovery Grants, the sector of the economy most in need after Hurricanes Irma and Maria – small businesses that suffered damages and may not have the same recovery options or capital of larger businesses – is provided needed assistance to survive and recover.