The City of Santa Cruz has formed a partnership with the National Development Council (NDC), one of the oldest not-for-profit corporations specializing in community and economic development, offering a series of focused loan programs serviced by NDC, designed to support small businesses within Santa Cruz.

1. Grow Santa Cruz Loan

Loan Program Qualifying Criteria:

• The business must be a for-profit entity;
• It must be with within Santa Cruz city limits;
• It must be financially healthy and in need of expansion capital;
• Acceptable uses for these funds can include: machinery and equipment, acquisition of land and buildings, construction, renovations, and tenant improvements;
• This is not a venture program and cannot provide funds for research and development or to satisfy equity or near-equity needs.

Average loans will range from $50,000 to $300,000 as permitted by the US Small Business Administration at or below market rates, for terms up to 25 years depending on the proposed use of funds.

2. Santa Cruz COVID-19 Emergency Loan

Loan Highlights:

• Loan Size: Up to $50,000 for working capital
• Streamlined application and approval process
• Low-interest rates, six months of interest-only payments with potential option to extend

Loan Program Qualifying Criteria:

• The business must be a for-profit entity; not a real passive real estate entity
• It must be with within Santa Cruz County
• In business for a minimum of one year
• Current on federal income taxes
• Viable, demonstrating profitability before COVID-19, and have a plan to recover post disruption

Use of Funds:

• Loan proceeds may be used as working capital (Payroll, rent, insurance, utilities, etc.)

3. Recovery & Growth Loans

Loan Highlights:

• Loan Size: Up to $500,000
• Patient and flexible terms
• SBA 7(a) and non-SBA loans

Loan Program Qualifying Criteria:

• The business must be a for-profit entity; not a real passive real estate entity
• It must be with within Santa Cruz County
• In business for a minimum of one year
• Current on federal income taxes
• Viable, demonstrating profitability before COVID-19, and have a plan to recover post disruption

Use of Funds:

• Working capital, machinery & equipment, or real estate acquisition