Finding Funding Locally

Sources of funding for businesses come in a variety of forms and from different government entities both locally and nationally. In our two previous articles we covered funding resources from the federal government (SBA) and from the State of Maryland. This month we’ll highlight programs on the local level that are offered by Montgomery County.

Montgomery County Economic Development Grant and Loan Program

Who is eligible? The County provides financial assistance to private employers who retain jobs or stimulate new job creation in Montgomery County. Priority is given to high tech companies, manufacturing companies, businesses located in urban revitalization areas, and private employers providing the greatest public benefits.

Amount: The typical amount ranges from $5,000 – $10,000 but higher amounts are possible for larger projects.

Priority: Priority is given to private employers who will create significant growth, significant capital investment in the County, will improve the County’s economic development strategies, and where it leverages existing state and private sector funding.

Montgomery County MOVE Program

Who is eligible? Businesses that are new to the County that lease up to 10,000 square feet of Class A or B office space. All industries, except retail and restaurants, and all leases up to 10,000 square feet are eligible.

Amount: $8/square feet

Requirement: Sign a minimum 3-year lease 

Montgomery County Small Business Revolving Loan Program

Who is eligible? Small businesses based in Montgomery County with gross revenues of less than $5,000,000 annually and fewer than 75 employees. Program funds must assist the expansion of the business or help retain and stabilize the business.

Amount: Ranges from $5,000 – $100,000 with maximum terms up to 5 years.

Criteria:
Program applicants will be rated on these elements:

• Financial history (if applicable, including personal financial/credit history) and projections, including balance sheets, income statements, cash flow statements, and bank statements (if applicable)
• Background, experience, and financial commitment of the company principal(s) and key management personnel
• Statement of the amount, timing, and projected use of the County’s assistance and any co-venture capital
• Projected employment growth, and/or other positive economic impacts that the County’s assistance will facilitate
• Ability of the recipient business to generate sufficient income to service the requested loan

Priority will be given to:

• Assistance that will materially improve the County’s economy and advance the County’s economic development objectives and strategies
• Cases where the County’s assistance will function as a catalyst to the company’s subsequent capitalization
• Cases where the business will create significant employment growth by creating new jobs within 3 to 5 years of funding
• Businesses for whom private/bank financing is not available at the time of application

Commercial Lending

Montgomery County contributes funds into community banks that have agreed to focus on lending to small businesses in the County. Banks that participate with the County are listed below.

• Capital Bank
• Congressional Bank
• Eagle Bank
• Wells Fargo Woman/Diverse Business Owner Programs

In addition to funding resources, the County also offers business advice, licenses/permits, and a variety of services at the Montgomery County Business Portal at http://bit.ly/2gCTTP6.

Source: Montgomery County Business Portal – http://bit.ly/2gCTTP6