Galveston Business Recovery Loan Program
In September of 2011, Houston Business Development, Inc. (HBDi) co-administrated a program with the Galveston Economic Development Partnership (GEDP) to award $2 million in disaster recovery loans to 64 Galveston-based businesses affected by Hurricane Ike. The program provided businesses, located on Galveston Island during the storm, access to loans to help cover expenditures for operating expenses, equipment, working capital, and furniture and fixtures. The loan proceeds were a welcomed capital infusion, and relief business owners had sought for some time. Funding for the program was allocated by the State of Texas Community Development Block Grant (CDBG) Disaster Recovery Program via the Texas Department of Rural Affairs (TDRA).
Businesses – through email, the city’s website, and via television – on May 27, 2011. In coordination with GEDP, the Baptist Ministers Association, Small Business Development Center (SBDC), Galveston Chamber of Commerce, National Association of Advancement of Colored People (NAACP), and the Hispanic Chamber of Commerce, community outreach meetings were conducted from May 31 – June 7 to further disseminate information pertaining to the parameters of the loan program. Applications were released to the public on June 6, 2011 with the official application submission period beginning on June 13, 2011. To round out the program’s marketing campaign, informational meetings including GEDP and HBDi staff held on June 7th & 8th were attended by over 100 Galveston-area businesses. The application submission period concluded on August 8, 2011, and GEDP collected 107 applications in response to the program.
The Galveston City Council approved the rollout of the program on May 26, 2011 which was announced to Galveston-area
As a co-administrator for the program, HBDi was able to provide the seasoned underwriting expertise needed to evaluate the application packages and render recommendations for approval. Upon completion of this process, the packages and recommendations were sent to the Texas General Land Office (TGLO) for final approval and disbursement.
With over 25 years of experience in supporting the expansion and development of small businesses, HBDi is able to provide low interest rate financing for working capital, equipment, furniture and fixtures, and real estate acquisition ranging from $5,000 to $5 million. To learn more about the services of HBDi, contact a loan officer at 713.845.2400 or visit us at www.hbdi.org .