Businesses can benefit from loan program

Businesses in small Lorain County communities should take advantage of a loan program designed to help revitalize and encourage investments in those downtowns. The new option for businesses to secure low-interest funding for property improvements is calle

Don Romancak, director of the Lorain County Community Development Department, presented the loan program to Lorain County commissioners at their Nov. 15 meeting.

The loan program specifically lists the villages of Wellington, LaGrange, Grafton and South Amherst as ideal candidates.

Currently, the loan program has $200,000 in funding from a defunct county business development fund.

Local businesses can receive up to $10,000 for building improvements and beautification efforts.

The loans, which must be matched at least dollar for dollar by the recipient, will be at below market interest rates, which should be an enticement for business owners.

The loans are just one of many tactics that can be used to help spur the economies in those villages.

But this also could be an opportunity for businesses to seek other outside funding for bigger projects on their buildings or properties.

And what’s nice about the county loan program is it could have a domino effect and prompt other businesses in those communities to seek similar funding and perhaps encourage greater revitalization efforts.

Romancak points out that the first round of lending will involve around 20 loans and will generate about $500,000.

Lagrange Mayor Kim Strauss recognizes that the loan program will be great for the businesses that need it, especially in his community of 2,100 residents situated in the southern part of Lorain County.

Strauss said Lagrange officials plan to contact businesses to let them know the loan program is available.

The loans can be used for so many different things such as roof repairs, HVAC systems, facades, paint, gutters and sidewalks and just about anything to help revitalize the downtown.

Other uses could be improving utility infrastructure or removing environmental contamination.

And the loans could be used to purchase equipment, inventory or as working capital.

Strauss said many times, businesses couldn’t get loans for repairs. That has changed. Businesses in Wellington, Lagrange, Grafton and South Amherst now can apply for loans to make necessary repairs and fixes.

South Amherst Mayor Dave Leshinski said he hasn’t had a chance to dig into the details of the loan program, but it’s gaining some interest in the village of more than 1,600 residents which is perched in the northwest section of Lorain County.

Leshinski posted preliminary information of the loan program on the South Amherst News and Events Facebook page and he received positive feedback.

A South Amherst business owner responded and Leshinski indicated he will encourage the individual to seek the loan.

Leshinski is probably correct that all communities can use a little more beautification, and this is a great opportunity for business owners to spiff up their properties.

Some of the sprucing up could include a new coat of paint, windows or doors.

The county loan program was created to assist these smaller communities that might not be as competitive to receive similar funds as larger cities like Oberlin or Amherst, or even Lorain or Elyria.

Strauss is pleased the loan program is available, because in the past, he believed smaller villages were pushed to the side and abandoned when it comes to similar programs.

Strauss said, “We sometimes don’t qualify for the money that’s out there. It doesn’t mean we don’t need it.”

Leshinski also highlighted the importance of the smaller communities having access to initiatives such as the loan program.

At the same time, the loan program will show accountability of taxpayer money with its successes and transparency.

Most importantly, the loan program is designed to assist businesses with creating vibrant downtowns and reliable infrastructure.

Businesses in these smaller communities should really explore applying for these low interest loans.

The loans are not a lot of money, but the funds surely can help with revitalization.