Coronavirus: Cedar Park Okays Financial Assistance For Businesses

CEDAR PARK, TX — The Cedar Park City Council on Thursday authorized a program designed to provide small businesses with financial assistance with a collective allotment of $200,000 in light of the coronavirus outbreak.

The program benefits businesses located within the city limits. To avoid conflicts of interest, an amendment was added prohibiting the awardign of any funds to council members, Type A board members, chamber of commerce board, staff and committee members along with their family members.

The resolution passing the program authorizes an agreement in a total amount of $200,000, city officials said in a news release, adding that it is funded by Economic Development (Type 4A) sales tax funds. The Cedar Park Chamber of Commerce will administer the Program, providing up to $10,000 in financial assistance for each qualifying Cedar Park small business, officials said. The program will provide a total amount up to $200,000 for eligible Cedar Park businesses, according to the nrews release.

“Our small businesses here in Cedar Park have been doing a tremendous job during this tough time," Mayor Corbin Van Arsdale said in a prepared statement. "Small business and the entrepreneurial spirit are the lifeblood of Cedar Park. They represent the very best of who we are as a community. During these past few weeks, we’ve seen many of these business owners rise to the occasion — not only helping one another stay afloat, but providing essential services to our community. We couldn’t get through this without them. We are excited to be able to help these small businesses, for all that they have done for our community.”

Under the Program, a qualifying business could receive a grant of up to $5,000, or a loan of up to $10,000 that can be repaid over a 24-month period at a zero percent interest rate, city officials explained. Prior to receiving assistance, each Cedar Park business applicant must first demonstrate that it is in need of such funds and meet the below minimum qualifications:

• Must be located within the corporate limits of Cedar Park.
• Must not be a home-based business or sole proprietor, and cannot be a non-profit organization.
• Must have been in business for at least 12 months.
• Must employ fewer than 25 full-time or full-time equivalent employees.
• Has endured a 25 percent or greater reduction in sales after the coronavirus pandemic.
• Has applied for a Small Business Administration (“SBA”) loan or other type of loan from a certified financial institution.

Tony Moline, president and CEO of the Cedar Park Chamber of Commerce, lauded the city-chamber collaboration to aid local small businesses: “We are proud to join forces with the city to offer this Small Business Assistance Program, in an effort to help our small businesses weather this unprecedented challenge ad provide a resource to help them return to their normal operations.”

For application details, click here.