St. Lawrence County Industrial Development Agency
Local Development Corporation
Loan Program Summary Sheet:
Business Venture Fund

Area of Eligibility:
Businesses located in St. Lawrence County or those wishing to locate new plants or facilities in St. Lawrence County

Eligible Businesses:
Intended for manufacturing, industrial, and warehousing operations.

Loan Amount:
Lesser of 30% of the project's cost or $400,000.

Use of Funds:
Eligible project costs include real estate, building construction and rehabilitation, machinery and equipment, inventory, and working capital.

Rates & Terms:
Interest rate fixed at one-half of the prime rate plus 1% with a floor of 5%. Normally working capital loans will be extended for no more than three years; equipment loans from three to five years; and construction loans from five to ten years. Longer terms may be available for loans secured with real estate.

Equity Participation:
Minimum equity investment of 10%.

Bank Participation:
Normally, a private lender must provide at least 30% of the project financing.

Application Considerations:
The IDA LDC will consider the number of persons presently employed, the projected increase, and the applicant's hiring plan must demonstrate they will create or retain at least on job for every $20,000 of loan authorized in excess of $75,000. Borrowers are required to fill 51% of new jobs with low-moderate income persons.

Fees:
$100 non-refundable application fee and closing costs, if applicable.

Review Process:
The entire process should take from 4 to 8 weeks provided all necessary documentation, including other financing commitments, is in place.

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