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COVID-19 Rapid Recovery Loan

A Resource for Small Business

Thread Capital’s COVID-19 Rapid Recovery Loan supports North Carolina small businesses and family farms as they recover from the economic impact of COVID-19. This rapid recovery loan helps small businesses bridge the gap between when crisis strikes and when federal loans, insurance payouts, and other relief funds are approved, or businesses have time to recover. 

This is NOT a grant program. Rapid Recovery loans are not designed to be a singular source of assistance for small businesses. Repayment is expected either from more permanent funding sources or from the future cash flow of the business. 

If you have already applied here, on the Rapid Recovery website, or with any of our lending partners (BEFCOR, Carolina Community Impact, Carolina Small Business, Mountain BizWorks, NCIFund, The Sequoyah Fund, Piedmont Business Capital) for a NC Rapid Recovery COVID-19 Loan, please DO NOT apply a second time. Rather, please reach out to NC Rapid Recovery at to inquire about the status of your application and someone will be able to assist you.




  • Loan sizes are approximately two months or more of current revenue. Documentation must be provided to show COVID-19 impact is greater than or equal to the loan size, which may include forecasted impact through December 30, 2020.
  • 18 months of no payments at 0.25% interest, followed by up to 8.5 years (or 102 months) of principal and interest payments at 5.5% interest.
  • There are no prepayment penalties.
  • Defaulted loans are subject to collections.


  • Applicants must be a North Carolina small business affected by COVID-19 (all 100 NC counties are eligible).
  • Applicants must have at least one (1) employee, who could be the self-employed owner.
  • Start-up businesses that began operations before March 23, 2020 are eligible.

Other Requirements

  • Any individual with greater than 20% ownership in the applying business must personally guarantee the loan.
  • Proceeds from the loan may only be used for maintaining or restarting a business.
  • The use of loan funds to pay off debts already incurred for qualifying business maintenance or restart purposes may be authorized on a case-by-case basis.
  • Borrowers are required to assign the proceeds of future assistance programs, including SBA loans, to the repayment of their Rapid Recovery Loan.