Ripley County Revolving Loan Program
Purpose of The Program
The purpose of the Revolving Loan Program is to provide loans to assist small and emerging businesses within Ripley County.
The funding is provided through the United States Department of Rural Development.
Who can borrow?
A loan can be made to a new or existing business located in Ripley County. Loans will be to applicants meeting the definition of "small and emerging private business enterprises" defined as "any private business that will employ 50 or fewer new employees and has less than $1 million in projected gross revenues." At least 51% of the outstanding interest in the applicant must be owned by those who are either citizens of the United States or reside in the United states after being legally admitted for permanent residence.
How much can be borrowed?
The minimum loan amount is $2,000.
$10,000 per job retained or created.
For how long can funds be borrowed for?
Loan term will be based on the planned use of funds and the useful life of assets to be acquired, primarily the lesser of seven years or the life of the security.
How can funds be used?
The project/business to be assisted must be physically located within Ripley County.
Acquisition and development of land, easements, and rights-of-way.
Construction, conversion, enlargement, repairs or modernization of buildings (including facade repairs), plants, machinery, equipment, access streets and roads, parking areas, utilities, and abatement facilities.
Startup operating cost and working capital.
Technical assistance for private business enterprises.
Can not use funds for the following:
Funds will not be used to produce agriculture products through growing, cultivation, and harvesting either directly or through horizontally integrated livestock operations except for commercial nurseries, timber operations, or limited agricultural production related to technical assistance projects.
Funds will not be used to finance comprehensive area-wide planning.
Funds will not be used to fund a part of a project which is dependent on other funding unless there is a firm commitment of the other funding to ensure completion of the project.
What is the interest rate?
Interest rates will be based on job creation or retention. Repayments will be made monthly.
What is the fee?
Fee will cover the legal fee for filing a lien. (Approx. $200.00 - $250.00)