Ohio Small Business Loan: Everything You Need to Know

Greetings, fellow entrepreneurs! If you’re running a small business in Ohio, you may have heard of the Ohio Small Business Loan. This financial assistance program is designed to help businesses in Ohio to recover from the economic impact of the COVID-19 pandemic.

In this article, we’ll dive deeper into the Ohio Small Business Loan, its requirements, and how it can help you and your business.

What is the Ohio Small Business Loan?

The Ohio Small Business Loan is a state-funded financial assistance program to support Ohio small businesses during the pandemic. This program aims to provide low-interest loans to help small businesses recover from the economic impact of COVID-19.

The Ohio Development Services Agency (DSA), in partnership with the Ohio Treasurer’s office, administers the Ohio Small Business Loan program.

How much money can Ohio Small Business Loan provide?

The Ohio Small Business Loan program provides loans of up to $350,000 to small businesses in Ohio. This loan amount can be used to cover various business expenses such as payroll, rent, mortgages, and utilities.

Who is eligible for Ohio Small Business Loan?

Before applying for the Ohio Small Business Loan, you must meet the following eligibility requirements:

Eligibility Criteria
Requirement
Business Size
500 or fewer employees
Annual Revenue
No more than $10 million
Location
Ohio-based businesses
Industry
All small businesses except passive real estate holding companies and businesses in the gambling industry
Business Viability
The business must demonstrate a potential for medium- to long-term viability through revenue, capitalization, or other measures

What is the interest rate of Ohio Small Business Loan?

The interest rate of Ohio Small Business Loan is 3% per year with a term of up to 10 years.

How to apply for the Ohio Small Business Loan?

To apply for the Ohio Small Business Loan, you can follow these three steps:

  1. Fill out the online Ohio Small Business Loan application form.
  2. Submit the required documents, such as tax returns, financial statements, and business plans, to the Ohio Development Services Agency (DSA).
  3. After your application is approved, the Ohio Treasurer’s office will contact you to sign the loan documents and disbursement instructions.

FAQs About Ohio Small Business Loan

1) Can I apply for Ohio Small Business Loan if I already have an outstanding loan?

You can still apply for Ohio Small Business Loan even if you have an outstanding loan. However, you must demonstrate that you can pay back both loans.

2) What can I use the Ohio Small Business Loan for?

You can use the Ohio Small Business Loan to cover various business expenses such as payroll, rent, mortgages, and utilities.

3) How long does it take to get approved for Ohio Small Business Loan?

The approval process can take up to 45 days depending on the completeness of your application and the accuracy of your information.

4) Can I apply for Ohio Small Business Loan if my business is not based in Ohio?

No, your business must be located in Ohio to be eligible for the Ohio Small Business Loan.

5) Can I use Ohio Small Business Loan to refinance my existing debt?

No, Ohio Small Business Loan cannot be used to refinance existing debt.

6) What happens if I can’t repay the Ohio Small Business Loan?

If you can’t repay the Ohio Small Business Loan, the Ohio Treasurer’s office will proceed with legal actions to recover the debt.

7) Can I apply for Ohio Small Business Loan if I am a sole proprietor?

Yes, sole proprietors are eligible for Ohio Small Business Loan if they meet the eligibility requirements.

8) What is the maximum loan amount for Ohio Small Business Loan?

The Ohio Small Business Loan provides loans of up to $350,000 to small businesses in Ohio.

9) Can I use the Ohio Small Business Loan to buy equipment?

Yes, you can use the Ohio Small Business Loan to purchase equipment or other assets to grow your business.

10) How do I know if my business is viable?

You can demonstrate the viability of your business through revenue, capitalization, or other measures.

11) How frequently do I need to make payments on Ohio Small Business Loan?

You need to make monthly payments on Ohio Small Business Loan.

12) Can I pay off my Ohio Small Business Loan early?

Yes, you can pay off your Ohio Small Business Loan early without any penalties.

13) How will I receive my Ohio Small Business Loan?

You will receive your Ohio Small Business Loan via a direct deposit to your business checking account.

Conclusion

The Ohio Small Business Loan program can provide a lifeline to small businesses during these challenging times. With its low-interest loans, it can be a great option for businesses looking for financial assistance.

If you’re eligible for Ohio Small Business Loan, we encourage you to apply today. Take advantage of this opportunity to help your business recover and grow.

So, what are you waiting for? Apply for Ohio Small Business Loan now and take your business to the next level!

Closing Disclaimer

This article provides general information about Ohio Small Business Loan and should not be considered as professional legal advice or financial advice. Please consult with a qualified professional advisor before making any financial or legal decisions.