Metro Atlanta is home to more than 30 corporate innovation centers, making it the highest concentrated city of startups and innovators in the Southeast. These entrepreneurs now have access to a new $1 million loan program designed to support local technology startups as they work to get their businesses up and running.
Through the Atlanta Startup Growth Loan Program (ASGL), Atlanta technology startups are eligible to apply for a direct loan of up to $150,000 to grow and scale their business and acquire new assets or update existing ones.
According to Atlanta Mayor Andre Dickens, Atlanta startups raised nearly $1.7 billion in funding last year alone, which was the second-highest amount of funding allocated to the city in recent years. “That speaks to the city’s ever-growing status as a technology epicenter,” says Dickens. “This new program and funding will further substantiate the strength of our tech ecosystem.”
The ASGL Program is the fourth initiative, and first technology-focused program, that United Way of Greater Atlanta and Invest Atlanta have rolled out as a part of the Atlanta Open for Business Fund (OFB). The fund is made possible by a $20 million donation from Wells Fargo to help the owners of Atlanta small businesses own more of their businesses’ assets – including property and equipment – scale and fund physical upgrades to their facilities. Invest Atlanta partnered with United Way to create OFB.
“The Atlanta Startup Growth Loan Program nurtures innovation and empowers local entrepreneurs,” says Milton J. Little, Jr., president and CEO of United Way of Greater Atlanta. “By providing vital financial support to technology startups, we're fostering a thriving ecosystem that will drive progress and opportunity in Atlanta.”
Invest Atlanta is distributing the Atlanta Open for Business Fund as a mix of grants and loans with a focus on Black-owned and other diverse-owned businesses. In addition to the ASGL, the Atlanta Open for Business Fund supports three other programs, including:
- Atlanta Recovery Loan Program: Provides 3% interest loans to small businesses interested in acquiring tangible business assets.
- Commercial Property Improvement Grant: Provides grants for small businesses of up to $50,000 for exterior and interior enhancements to their business.
- Atlanta Commercial Down Payment Assistance Loan Program: Provides small businesses with direct loans of up to 20% of commercial property costs up to $200,000 to acquire commercial property.
Dr. Eloisa Klementich, president and CEO of Invest Atlanta, says support for technology startups is vital to the growth of the Atlanta’s economy because they not only create jobs, but also increase the city’s competitiveness and often address an unmet need. “The Atlanta Startup Growth Loan Program will extend our reach and impact because we will be in a position to help eliminate funding as a barrier to their ability to grow,” says Dr. Klementich.
ASGL loans can be used for technology, inventory, the purchase, or renovation of commercial space within the city of Atlanta, machinery and equipment, furniture, and fixtures, as well as signage, which can go a long way to helping startups.
“Being able to acquire or upgrade these types of assets can be transformative for a small business, particularly those in the early stages,” says Jenny Flores, head of small business growth philanthropy at Wells Fargo. “With this program, we are being intentional about getting capital out to entrepreneurs in a way that drives growth for each small business but also the Atlanta economy."
To learn more about and apply for the Atlanta Startup Growth Loan Program, small business owners should visit www.investatlanta.com/startupgrowth. Small businesses interested in the program may request assistance with their application through the Atlanta Open for Business Technical Assistance program by visiting www.atlinbusiness.com.