NC COVID-19 Rapid Recovery Loan

Mountain BizWorks is providing NC COVID-19 Rapid Recovery Loans as as vital resource to help Western North Carolina small businesses be resilient and adaptive in the face of the corornavirus crisis. These are primarily designed to be a timely source of bridge loan financing until businesses can access SBA Disaster or other federal disaster funding.

This is not a grant program

Mountain BizWorks issued NC COVID-19 loans are not designed to be a singular source of assistance for small businesses. Repayment is expected either from more permanent funding sources or from the future cash flow of the business.

Loan details

Loans are available for up to $50,000, based on the business’s current revenue. Loan agreements are structured as follows:

  • Loan sizes capped at approximately two months of 2019 average monthly revenue.
  • Six months of no interest and no payments, followed by 48 months of principal and interest payments at 5.5% interest.
  • Interest will begin to accrue on any unpaid balance at the beginning of the seventh month.
  • There are no prepayment penalties.
  • Defaulted loans are subject to collections.

Who is eligible?

  • Applicants must be a North Carolina small business affected by COVID-19 (all 100 NC counties are eligible).
  • Applicants must have at least one (1) employee, who could be the self­-employed owner.
  • Start-up businesses that began operations before March 23, 2020 are eligible.


  • Any individual with greater than 20% ownership in the applying business must personally guarantee the loan.
  • Proceeds from the loan may only be used for maintaining or restarting a business.
  • The use of loan funds to pay off debts already incurred for qualifying business maintenance or restart purposes may be authorized on a case-by-case basis.
  • Borrowers are required to assign the proceeds of future assistance programs, including SBA loans, to the repayment of their Rapid Recovery Loan.

Logistics & timeline

  • Businesses interested in applying should be prepared to complete an online application and provide tax returns, profit and loss statements, and bank statements.
  • The partners in this program are committed to moving as fast as possible to assist businesses and they will be in touch with applicants as soon as possible.
  • Loans subject to availability of funds.

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With support from

The NC COVID-19 Rapid Recovery Lending Program has received initial funding in the amount of $15 million from the Golden LEAF Foundation. The program represents an agile partnership between several community development financial institutions (CDFI) across the state including Mountain BizWorks will a goal of providing a rapid response to NC small businesses. Special thanks to the NC Rural Center for coordinating and administering this important program.