Types of Financing
USDA Rural Development Loan
The Business and Industry Guaranteed Loan Program (B&I) provides up to 80% of the loans made be eligble commercial lenders for job creation and economic development projects in rural areas with Populations <50,000 people. You can check the elegibility of your project at the USDA Rural Development Site.
Eligibilty: Corporations, Partnerships, and Sole proprietors, Non-profits, Cooperative Organizations, Municipalities, and Federally-recognized Tribal organizations with at least 51% ownership owned by a US citizen or permanent resident. Loans can be used for construction, renovation, and land development. The purchase of land for development, machinery, equipment, debt restructuring (in some cases), and working capital Types of businesses include manufacturing, wholesale, retail, service, or other business activities that will provide opportunites to create or maintain employment and/or improve economic conditions.
Loan Amounts: Typical Loan amounts are from $250,000 to $25,000,000 Loan Rates and Terms: Loan rates are set by the lending institutions. Terms are up to 30 years for real estate, 15 years for machinery and equipment, and 7 years for working capital. USDA B&I Loans cannot be used for the purchase of land for agricultural production, golf courses, gambling, lending investment and insurance companies, charitable institutions, guarantee of lease payments, or made to government employess, active military personnel, or loans that represent a conflict of interest, other restrictions may apply. Contact us TODAY for more information Information for this program obtained from the USDA department of Rural Development
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