The Small Business Financial Assistance Program (SBFAP), a crucial lifeline for small businesses affected by the South Central Extension/Downtown Hub light rail construction, has been extended through March 31, 2025. This initiative allows eligible businesses to apply for grants of up to $9,000, ensuring continued financial support during the final phases of construction.
Since its launch in 2021, the program has allocated over $1.58 million in grants, demonstrating its commitment to fostering economic resilience along the light rail corridor. This blog post delves into the program’s details, eligibility requirements, and its broader significance for Phoenix’s small business ecosystem.
Understanding the Small Business Financial Assistance Program (SBFAP)
The SBFAP was created by Valley Metro and the City of Phoenix with extensive community input to address the challenges faced by businesses along the South Central Extension/Downtown Hub (SCE/DH) light rail route. Financial backing for the program comes from Phoenix Transportation 2050 (T2050) and the Phoenix Community Development & Investment Corporation (PCDIC).
Eligible businesses can now apply for Tier II grants of up to $9,000, following the full disbursement of Tier I funding ($4,500 grants).
Learn more about the program and eligibility requirements by visiting Prestamos CDFI.
Eligibility Criteria for SBFAP
To qualify for SBFAP, businesses must meet the following criteria:
- Location: Must be situated on the South Central Extension/Downtown Hub light rail extension.
- Size: Employ 15 or fewer employees with annual revenue under $750,000.
- Operation Date: Have been operational since before June 2019 (prior to construction).
- Revenue Impact: Demonstrate a revenue loss compared to pre-construction levels.
Eligible businesses that previously received funding are encouraged to reapply, ensuring continued support through the program extension.
SBFAP: A Proven Track Record
Since its inception, SBFAP has had a tangible impact on small businesses:
- Distributed $1.58 million in funding to over 270 businesses along the SCE/DH construction corridor.
- In 2024 alone, the program awarded $400,000 in grants to 65 businesses.
- Supported a diverse range of local entrepreneurs, from retail shops to family-owned restaurants.
These efforts underscore the program’s role in mitigating the economic impact of light rail construction. Discover more about Valley Metro’s initiatives at Valley Metro’s SBFAP page.
Additional Support Beyond Grants
In addition to financial assistance, Valley Metro offers several free business support services:
- Business Consulting: Tailored advice to help businesses adapt and thrive during construction.
- Marketing Assistance: Strategies to increase visibility and attract customers.
- Community Events: Events designed to drive foot traffic and promote local businesses.
- Signage: Free signage to help businesses maintain visibility amid construction.
These resources have benefited 362 businesses along the SCE/DH corridor, further solidifying Valley Metro’s commitment to small business growth. Access additional resources on the Valley Metro website.
The South Central Extension/Downtown Hub Project
The South Central Extension/Downtown Hub light rail project represents a transformative investment in Phoenix’s public transit infrastructure. Extending the existing light rail system from downtown Phoenix to Baseline Road, the SCE/DH project aims to connect historically and culturally significant neighborhoods.
Key features include:
- New Light Rail Hub: A transit hub in downtown Phoenix with new stations and amenities.
- Public Art Installations: Art reflecting the cultural heritage of the communities it serves.
- Two-Line System: The SCE/DH will integrate into a two-line light rail system, enhancing connectivity.
Now at 95% completion, the project is set to open in mid-2025, marking a significant milestone in Valley Metro’s efforts to modernize public transit. Follow updates on the SCE/DH project page.
Impact on Phoenix’s Business Ecosystem
The SBFAP and the SCE/DH project highlight the city’s dual focus on infrastructure growth and economic support. By balancing transit development with small business assistance, Phoenix ensures that the benefits of modernization are shared equitably.
Organizations like Local First Arizona emphasize the importance of supporting small businesses as pillars of the community. The SBFAP embodies this philosophy by prioritizing assistance for businesses most affected by construction.
How to Apply for SBFAP
If you’re a business owner affected by the SCE/DH construction, applying for SBFAP is simple:
- Review the eligibility requirements on the Prestamos CDFI application page.
- Gather necessary documentation, including proof of revenue loss and business location.
- Submit your application before the program’s deadline on March 31, 2025.
Don’t miss the opportunity to secure funding that can help sustain and grow your business during this critical period.
A Community-Centered Future
The extension of the Small Business Financial Assistance Program reflects a broader commitment to fostering resilience in Phoenix’s small business community. Programs like SBFAP serve as a model for how cities can integrate economic support with infrastructure development, ensuring that progress uplifts all members of the community.
Stay connected with updates by following Valley Metro on Twitter and Facebook. Use hashtags like #SBFAP and #SouthCentral to join the conversation and celebrate local businesses thriving in Phoenix.
Conclusion
The Small Business Financial Assistance Program is more than just a funding initiative—it’s a testament to Phoenix’s commitment to its small business community. By extending the program through 2025, the city and Valley Metro are ensuring that businesses along the South Central Extension/Downtown Hub light rail corridor receive the support they need to thrive.
For more information and resources, explore the links below:
- Phoenix Transportation 2050 Overview
- Phoenix Community Development & Investment Corporation
- Valley Metro Business Assistance Programs
- Public Transit News and Updates
- Media Contact Directory for Transit News
By combining innovative infrastructure projects with robust economic support, Phoenix is paving the way for a thriving and inclusive future.
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