At the Ohio Treasury, we understand that small businesses play an
important role in creating jobs for Ohioans. We also know that one of
the most challenging parts of running a small business is financing it.
During the past two years, the Ohio Treasury’s GrowNOW program has
invested more than $232 million in low-cost financing for Ohio small
businesses in 81 of the state’s 88 counties. Since January 2010, GrowNOW
participants have received rate reductions on $150 million worth of
small business loans and have helped to create or retain more than 6,000
jobs in Ohio.
What is GrowNOW?
GrowNOW is a partnership between eligible banks and the Ohio
Treasury. The program enables small business owners to receive up to a 3%
interest rate reduction on new or existing small business loans for two
years with the opportunity for renewal. Small business owners must
commit to the creation or retention of at least one full-time job or two
part-time jobs in the State of Ohio for every $50,000 borrowed, up to
$400,000. GrowNOW broadly serves as a catalyst for Ohio’s economic
development by supporting the small businesses that drive it.How is the GrowNOW rate reduction determined?
The GrowNOW interest rate reduction will be based on the loan’s interest rate set for each borrower by the bank. If the interest rate is above 5%, the reduction will be 3%. If the interest rate is 5% or below, the reduction will be 2.1%.
What is the goal for GrowNOW?
GrowNOW makes borrowing more affordable for Ohio’s small businesses,
enabling them to remain financially stable, hire additional employees or
retain their workforce and become more productive.
What are the benefits of GrowNOW?
The benefits of GrowNOW are three-fold:
Does my business qualify?
- The Treasury strategically invests a portion of its portfolio in local economies
- Banks form critical partnerships with local businesses
- Small businesses grow jobs in Ohio’s communities.
Eligible business owners must meet the following criteria:
- Must have less than 150 employees
- Must have headquarters in Ohio
- Must maintain offices and operating facilities in Ohio
- Must have a majority of employees be Ohio residents
- Must be organized for profit
- Must be able to save or create one full-time or two part-time jobs in Ohio for every $50,000 borrowed
GrowNOW gives approval preference to veterans through the Veteran’s
Preference Program. If you are a veteran or a spouse of a veteran,
please click here for more information
What is the process?
- View a list of eligible banks. (Please note: Only Depository Banks are eligible to participate in our Economic Development programs, but not all Banks offer these services.)
- Apply for a small business loan at an eligible bank and establish an interest rate.
- Complete an easy GrowNOW online application with your bank. Paper applications are also available.
- If approved, the Ohio Treasury places an investment with your bank at a below market-value interest rate.
- The bank agrees to pass along the interest savings to you through up to a 3% reduction on your small business loan.
Upon submission of your completed application, the Ohio Treasury's
Department of Economic Development typically determines eligibility
within 2-3 business days.
Final Steps: Compliance Questionnaire
One year into the program, participating small businesses are required
to complete a brief compliance questionnaire to update the Treasury on
their progress and capacity to create or save jobs. Compliance Questionnaire can be completed here.