WDRB: 'It's great' | Louisville small businesses taking advantage of loans provided by the city

Molly Jett, WDRB

LOUISVILLE, Ky. (WDRB) -- The city of Louisville approved more than $3.2 million in loans for small businesses last year.

DeShawn Bell owns Alpha Cheer Gymnastics, located on Dixie Highway. It's a building that allows students to learn how to tumble. But, it takes a pretty penny to keep the lights on.

"I love coaching, love coaching more than anything," Bell said.

For the past 25 years, he's been helping children step on the mat and achieve their dreams. But in 2020 the momentum nearly came to a halt.

"Without that loan, I wouldn't have been able to stay open at all," Bell said.

During the pandemic, Bell applied for a small business loan called METCO, through the city's Department of Economic Development's office.

"I didn't know what was going to happen, so fortunately with the Metro loan, I was able to stay open," Bell said.

In 2021, Bell received a $20,000 Midi loan allowing him to move into a new space and keep up with rent.

"With rent being so high, everyone is talking about it," Bell said. "They don't really know how to even stay open, so that those loans they get, it really does help. Then not only, the biggest loss is you not have to pay back so much out." 

METCO loans have been helping new and expanding businesses in Louisville with start-up and expansion costs for the past 40 years. They have also been funding commercial property improvements.

"It's an incredibly well kept secret here," METCO Loan Manager Terri Hathaway said. "We're hoping to change that here in 2024."

Hathaway said the city approves about 30 loans a year. 

Just in 2023 alone, they approved $3.2 million in loans for small businesses. Loans will leverage over $12 million in private investment.

"They're really the stepping stone to help folks get into traditional bank financing further down the road and to be able to be there when they're not able to get that first and but we want to keep those dreams alive," Hathaway said.

It's a program helping businesses pivot and stay alive in neighborhoods across the city.

"It's great for them because we know all businesses are suffering," Bell said.

METCO loan applications are accepted year-round, and the METCO board meets monthly to review, discuss and vote on applications for small business loans available through Louisville Metro Government.

“Each of these loans represent someone’s dream. Through Louisville Metro’s METCO program, the entrepreneurs and small business owners that make our city authentic are able to start and grow their dreams into successful businesses,” Mayor Craig Greenberg said in a news release.

For more information on the METCO loan program, click here.

Read the original article here.