Struggling Rockville Businesses Could Get Grants, Loans

ROCKVILLE, MD — Rockville has unveiled a new pilot program that will provide financial assistance to some struggling small- and medium-sized businesses in the city. The program was established less than two months after the city held a town hall meeting to address residents' concerns over business closures in the area.

The Rockville Small Business Impact Fund would gives grants and loans to businesses that lack the capital to sustain growth in areas like Rockville Town Center and Twinbrook Metro Performance District. Rockville Economic Development, Inc. (REDI), an economic development partner to the city, helped create the Rockville Small Business Impact Fund. During the pilot program's first year — which is in 2019 — REDI recommends that the city commit $430,000 in funding to stabilize Rockville Town Center.

The mixed-use development has struggled to keep retailers in business. About a dozen small businesses have closed over the past couple of years, according to a Washington Business Journal article. The latest casualties: Mellow Mushroom and Dawson's Market. Business owners told the outlet that multiple factors contributed to their struggles, including their location and newer competition.

"Rockville is a wonderful city with a strong business climate," said Mayor Bridget Donnell Newton. "New investment in Rockville’s Town Center will further strengthen the vitality of our downtown. I applaud the council and REDI for taking decisive action to develop and approve an initiative that achieves our mutual goal."

"Rockville continues to be welcoming and supportive of businesses. I am excited that REDI can partner with the Mayor and Council on a quick, tactical response to the changing landscape of Rockville Town Center," said REDI Board Chair Paul Newman. "By working together, we can boost economic impact by supporting small- and medium-sized businesses in key districts. REDI is grateful to the City of Rockville for this funding, which will continue to strengthen business development in the downtown area."

According to city officials, REDI will request an addition $400,000 investment through Rockville's fiscal year 2020 budget, in order to continue the program.

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