U.S. Department of Commerce Invests $2 Million in American Rescue Plan Funds to Capitalize Revolving Loan Fund to Serve Small Businesses in Groton, Connecticut

WASHINGTON – Today, U.S. Secretary of Commerce Gina M. Raimondo announced that the Department’s Economic Development Administration (EDA) is awarding a $2 million grant to Southeastern Connecticut Enterprise Region Corporation (seCTer), Groton, Connecticut, to capitalize and administer a Revolving Loan Fund. This grant is funded by the American Rescue Plan.

This grant will provide gap financing to small, local businesses in Franklin, Griswold, Groton, Lebanon, Ledyard, Lisbon, Montville, New London, North Stonington, Norwich, Preston, Salem, Sprague, Stonington, Voluntown and Waterford in New London County and the Town of Union in Tolland County to help businesses recover, grow, and create new employment opportunities. The EDA investment will be matched with $500,000 in local funds and is expected to create 16 jobs, retain 50 jobs and generate $2.2 million in private investment, according to grantee estimates.

“President Biden is committed to providing businesses with the resources they need to recover from the economic impact of the coronavirus pandemic,” said Secretary of Commerce Gina M. Raimondo.  “This EDA investment will provide needed capital to small businesses and entrepreneurs in southeastern and northeastern Connecticut, creating a stronger, more robust regional economy.”

“The Economic Development Administration is pleased to support locally-driven strategies to boost business recovery efforts in Connecticut,” said Assistant Secretary of Commerce for Economic Development Alejandra Y. Castillo. “This Revolving Loan Fund will provide the capital that small businesses and entrepreneurs need to grow and thrive.”

“Thanks to President Biden’s leadership, our economic recovery from the pandemic is strong,” said Governor Ned Lamont. “Small businesses are the lifeblood of a vibrant economy and this award from the US Department of Commerce will support our local businesses in eastern Connecticut as they grow and expand their operations.”

“This significant grant will have an incredible impact on Southeastern Connecticut’s economy,” said Senator Richard Blumenthal. “The small businesses that receive this financing will be able to recover from losses sustained during the COVID-19 pandemic and grow stronger, creating jobs and a strong regional economy along the way. I am proud to have fought for this critical funding with our delegation and will continue fighting for measures that support and grow small businesses in our state.”

“The last two years have been tough on our local businesses, and these federal dollars will go a long way towards helping Southeastern Connecticut recover even stronger than before,” said Senator Chris Murphy. “This smart, targeted funding from the American Rescue Plan will give small businesses the capital they need to continue creating jobs and opportunity.”

“This is another great example of how the American Rescue Plan is still working to support local jobs, businesses, and communities while we get back to full speed,” said Congressman Joe Courtney (CT-02). “SeCTer supports small businesses in towns all over eastern Connecticut, and now they’re going to have more capital to deploy to help those employers create new jobs, protect existing ones, and grow their business thanks to the Rescue Plan. We’ve got to remain focused on protecting jobs, growing our workforce, and strengthening supply chains and production power, and that’s exactly what this new support will help achieve. It’s good to see the American Rescue Plan in action for our local small businesses.”

This project is funded under EDA’s American Rescue Plan Economic Adjustment Assistance program, which makes $500 million in Economic Adjustment Assistance grants available to American communities. The Economic Adjustment Assistance program is EDA’s most flexible program, and grants made under this program will help hundreds of communities across the nation plan, build, innovate, and put people back to work through construction or non-construction projects designed to meet local needs.

About the U.S. Economic Development Administration (www.eda.gov)
The mission of the U.S. Economic Development Administration (EDA) is to lead the federal economic development agenda by promoting competitiveness and preparing the nation’s regions for growth and success in the worldwide economy. An agency within the U.S. Department of Commerce, EDA invests in communities and supports regional collaboration in order to create jobs for U.S. workers, promote American innovation, and accelerate long-term sustainable economic growth.