Like the E-Community loan program, The PCED Business Loan Program offers gap financing to help fund startup costs, expansion of an existing business, working capital, inventory, and more.
Loan Eligibility: Funds must be utilized to provide matching loans to or-profit, small businesses within Phillips County.
Loan Maximum: The maximum loan size is $45,000 per business. PCED business loan funds can match up to 200% of the partner contribution. This means that PCED funds can be no more than 66.6% of the total funding package. Partner contribution can come from a public source of capital (microloan, revolving loan fund, certified development company, community foundation, USDA) and/or a private source (bank loan).
Usage of Funds - Acceptable: Purchase of land, purchase of real estate, purchase of business inventory, purchase of business equipment, and working capital.
Usage of Funds - Inacceptable: Paying off or refinancing existing debt, salary or owners draw, payroll taxes, and building renovation not tied to a specific business. Funds cannot be used for passive real estate; funds can only be disbursed to a business that will be housed in the building being purchased with PCED funds. Funds cannot be used to purchase real estate utilized for housing such as an apartment complex or loft apartments.
To apply for a PCED Business loan: Please complete the below application form and submit any additional documentation as directed.
For further information about the PCED Business Loan Program or any other business funding programs, contact the PCED office and we will be happy to help.