ELIGIBILITY
- Type of Business
Entrepreneurs, business start-ups and existing small businesses with less than 25 employees in areas with a population of less than 5,000. - Maximum Loan Amount
The maximum amount of funds from this program is $35,000 or 80% of a project, whichever is less, depending on availability of funds. - Use of Loan Proceeds
Purchase of machinery and equipment (new or used) as well as associated delivery and installation costs
Working capital
Construction/renovation/acquistion of real property
LOAN PROGRAM FEATURES
- Interest Rate
The current interest rate is fixed at 2.75%. This rate is fixed throughout the term of the loan. - Repayment Terms
Machinery and equipment 3-5 years
Working capital 2-3 years
Construction/renovation/acquisition 5 years
LOAN PROGRAM REQUIREMENTS
- Business Plan
Entrepreneurs and start-up businesses are required to submit a fully completed business plan with the loan application. The Small Business Development Center at the University of Scranton and Wilkes University provide assistance in the development of a business plan at no cost to the entrepreneur/small business. - Job Requirements
Borrowers are required to establish/retain one new job for every $35,000 in loan assistance in business start-up situations; self-employment is included with this job requirement. - Location
This loan program is available to entrepreneurs, start-up businesses and existing small businesses with less than 25 employees located in Rural Development eligible areas with less than 5,000 in population in the seven county region served by NEPA. These counties are Carbon, Lackawanna, Luzerne, Monroe, Pike, Schuylkill and Wayne.