Business Subsidy & Revolving Loan Fund
Revolving Loan Fund
Goodhue County EDA administers a revolving loan fund (RLF) to assist small businesses with financing needs. Eligible uses of revolving loan funds include:
- Equipment and Fixtures
- Land and building acquisition
- Land improvements
- New Building construction
- Other capital improvements or investments
Only for-profit business can qualify to receive a loan and municipalities or townships can apply on behalf of a for-profit economic development project. A small business can qualify for loans from $5,000 up to $15,000 for development projects.
Complementing Local Development Incentives
RLFs are traditionally used to fill a "financing gap" in a business development project. They are designed to alleviate the high cost and short supply of capital for businesses by providing flexible loan terms. Typically, RLFs lower the rate, lengthen the term, or reduce the risk of a loan. By increasing accessibility to capital, RLFs are an effective tool of leveraging. RLFs are typically combined with other public or private dollars and are used to initiate, facilitate, and promote the county’s legitimate economic development interests. This program is intended to complement, not replace, existing local development incentives.
Qualifying for a Loan
In order to qualify for a loan from this fund, an applicant must be a for-profit business and able to demonstrate the feasibility and sustainability of the business through a business plan and projected sufficient income to repay interest and principle within a reasonable period of time.
In order to apply for a loan, a business must contact the Goodhue County EDA director and complete application form (PDF).
For further inquiry please call the EDA staff person Cris Gastner at 651-764-5745
In addition to revolving loan fund assistance, Goodhue County has the ability to utilize a number of tools to make businesses more competitive. These tools include:
- Business Assistance
- Financial Packaging
- Revolving Loan Fund
- Tax Abatement (PDF)
- Tax Increment Financing