Appalachian Community Capital Distributes $3.65 Million to Extend Capital to Appalachia’s Small Businesses

This week, Appalachian Community Capital (ACC) announced $3.56 million in grants under an Emergency Business Response Assistance Program to strengthen and stabilize 31 Regional Community Development Financial Institutions (CDFIs) and other mission-driven community development finance lenders, such as Revolving Loan Funds (RLFs), serving small businesses impacted by COVID-19 related losses.

With support from ARC, the program will help designated community-based lenders cover operational costs and offset some of the income they are losing by suspending, or reducing, payments from their borrowers during the COVID-19 crisis. Eligible uses of funding will consist of operational support and direct technical assistance to Appalachian small business and non-profit borrowers. It is anticipated that recipients will serve 400 businesses and organizations and improve at least 200 companies; $15 million in leveraged private investment will be attracted; and 200 jobs will be retained across the Appalachian Region.

“The Appalachian Regional Commission is committed to helping businesses and financial institutions throughout the region during this economic crisis. By strengthening our Community Development Financial Institutions, we’re ensuring they can continue to support our small businesses with access to capital, which is incredibly important during this difficult time,” said Mike DeWine, Ohio Governor and ARC States’ Co-Chair.