Small Business Forgivable Loan Program

Ready for your small business to take off?

 The City of Muscatine is offering Small Business Forgivable Loans for building improvements and startup cost associated with the creation of a New Business or to existing businesses significantly expanding into a new market, product or service. 

Businesses can obtain a loan for up to $25,000 for the business at a term of 5 years with 20% of the original loan forgiven annually at the anniversary of the origination of the loan. Funds are allocated up to $15,000 for startup cost and up to $10,000 for code compliance. 

Businesses receiving funding must be new businesses or be significantly expanding business operations to be eligible. Applicant must meet 1:1 (applicant investment v. grant funding) (may be waived in whole or in part by the City Administrator upon recommendation of the committee). Inventory is not an eligible grant funded expense but does count toward match. 

The City has allocated $100,000 in funding annually. Funds will be awarded to qualifying businesses based on availability of funds. Loan agreement and documents must be finalized before any work on the project may begin.  Work done prior to an executed agreement will not be eligible for funding. 

Purpose...

Promote in-fill and redevelopment in targeted areas throughout Muscatine.

Objective...

- Improve Building Infrastructure
- Assist with Capital Equipment Purchases
- Offset Cost of Historic Building Preservation
- Offset Cost to Address ADA Access Issues
- Offset Cost of Fire Code Compliance, Sprinkler Systems, Egress Issues
- Allow Businesses to Allocate Additional Funds to Grow and Expand Business

Program Documents

Summary (PDF)
Application (PDF)
Project Budget Sheet (PDF)
Sample Agreement (PDF)
Small Business Forgivable Loan Documents (PDF)
Downtown Small Business Forgivable Loan District (PDF)
Park Avenue Small Business Forgivable Loan District (PDF)
Grandview Small Business Forgivable Loan District (PDF)