The loan funds are to be used for expansion of existing enterprises and in the development of new industrial or commercial activity in Luce County. Fund may be used for any purpose approved by the EDC Board, Luce County Board, and McMillan Township Board provided the purpose is a Title I eligible activity and due account is given to the degree of risk. A portion of jobs created by a revolving loan fund financed project must be made available to low and moderate-income persons. Lending decisions are made based on a thorough review of all documents provided, including the viability of the business presented in the business plan and the credit history shown in a commercial credit report. Interest rates and repayment terms are established based on factors such as the rate and term of a participating financial institution, impact of monthly payments on cash flow, amount of owner equity in project and nature of financing (real estate, equipment, working capital).
A comprehensive set of administrative guidelines have been developed for revolving loan programs. Because the fund is governed by Title I, certain public sector financing projects are permitted and the loan fund has done several public projects over the course of its existence.
If you need further information, please call the Luce County EDC office at 906-293-5982.