Peninsula Cares Act Fund
PENINSULA CARES ACT FUND (PCAF)
The cities of Hampton and Newport News are working together to assist small businesses during the COVID-19 pandemic. The Peninsula Cares Act Fund (PCAF) was created to provide direct loans in amounts not to exceed $375,000, with flexible rates and terms, to coronavirus-impacted small, for-profit, businesses located in either Hampton or Newport News. The minimum loan amount is $7,500. Some of the allowable lending activities that may be undertaken with the PCAF loan include acquisition of machinery and equipment, working capital (including inventory), marketing, facility remediation and cleanup costs. Generally, all for-profit businesses can apply excluding adult entertainment/adult use businesses.
All loan applications submitted for PCAF fund consideration will be evaluated based on the following principles and how the project benefits the local Hampton/Newport News economy.
- How was your business negatively affected by COVID-19?
- Will it stabilize and support the business/applicant?
- Does it support innovation or increase productivity?
- Does it result in the retention and/or creation of new jobs?
- Will it enhance an existing or emerging industry cluster?
- Is there a creation of taxable assets?
To obtain details regarding eligibility and use of funds, refer to the program guidelines.
Loan rates and terms
The fund makes fixed interest loans generally between 0% and 2% (only applicable until all funds have been disbursed or June 30, 2022, whichever occurs first). The maximum term is ten (10) years for fixed asset loans and four (4) years for working capital loans. The fund was capitalized by a grant from the U.S. Economic Development Administration and, therefore, financing is not available to companies relocating an existing business from one jurisdiction to another. However, companies expanding to Newport News or Hampton from another location are eligible. The Peninsula Industrial Finance Corporation (PIFC), the approving entity, at its discretion, may defer payment of principal and interest for a period not to exceed twelve (12) months, however interest, if applicable, will still accrue.
How to Apply
If your business is located in Newport News, applications may be submitted using the online application portal.
You will need these documents available in electronic format to upload when completing the application, Required Documentation.
If you have any questions regarding the guidelines, application process or need assistance completing the application, contact Priscilla Green with the Department of Development at (757) 509-2587 or firstname.lastname@example.org.