Economic Development

The CDBG Small Business Micro-Grant Program for new or early-stage businesses located in Scranton’s low-moderate-income demographic areas (LMA) will supply funds ranging from $2,500 to $5,000 per business through the 2022 year to assist with start-up costs, thus contributing to their initial success and continued revitalization of our community.

Businesses must be in a qualifying Low-to-Moderate service area within the City of Scranton. New and newly established is defined as businesses opened for business within the last 12 months or planning to open within 9 months of application. Final applications must include a referral form from the SBDC at The University of Scranton, available after completing the required educational program series and/or business consulting and demonstrating appropriate business planning in accordance with program guidelines.

Interested businesses may contact Tricia Zilaitis, in the Office of Economic and Community Development at tzilaitis@scrantonpa.gov to discuss a project and potential funding.  The guidelines and application are found below.

Revolving loan funds (RLFs) make loans to businesses that cannot otherwise obtain traditional bank financing. Applicants must be private, for profit businesses.  Borrowers must demonstrate that credit is not otherwise available on terms and conditions that permit the completion or successful operation of the activity to be financed. The maximum EDA loan amount will be $100,000 however loan can be no more than 30% of the total project costs.

This federally funded gap loan program was developed to enhance job creation by providing assistance to existing businesses looking to expand, for starting up a new business, or for businesses looking to relocate to Scranton.  As per the U.S. Department of Housing and Urban Development (HUD) guidelines, borrowers must create one full time equivalent job for every $35,000 borrowed.  If job creation and guidelines are met, the loan can transfer to a grant, with no repayment necessary.