Revolving Loan Fund (Chamber & Economic Development of the Rutland Region)

Revolving Loan Fund (Chamber & Economic Development of the Rutland Region) is sponsored by Chamber & Economic Development of the Rutland Region. The Chamber & Economic Development of the Rutland Region provides fixed-rate loans through its Revolving Loan Fund for businesses in its service region. These loans are generally repaid over a five-year period at favorable fixed rates.

## Revolving Loan Fund FAQs ### Who qualifies for CEDRR’s Revolving Loan Fund? Funds are available for both existing and startup businesses. Our program is unique because it can finance businesses that are having difficulty obtaining traditional financing due to the unproven nature of their business, their small size, or unconventional product line.

We work extensively with local banks and financial institutions, often serving as the “gap financing piece” to help meet the unmet funding needs of area businesses. Loans are available for a wide range of initiatives, from working capital to installing new machinery or buying land and/or buildings.

_CEDRR_ (_Chamber & Economic Development of the Rutland Region) is an equal opportunity lender, with funds available on a non-discriminatory basis and in accordance with Title V of Publication L, 93-495, the Equal Credit Opportunity Act. Funds for these loan programs have been provided by USDA Rural Development. _ ### What can Revolving Loan Funds be used for?

Eligible loan purposes include: * Machinery and equipment purchase * Business acquisitions to keep a business from closing * Pollution control and abatement * Transportation services * Startup costs, including feasibility studies * Commercial nurseries, forestry, livestock and poultry processing, mushroom growing, and hydroponics. ### What can Revolving Loan Funds NOT be used for?

Ineligible loan purposes include: * Refinancing existing debt * Agricultural production ### What are the rates and terms? Interest rates vary depending on the WSJ prime rate on the day the application is received, as well as the type of financing and the credit quality of the borrower, starting at 5% and with a ceiling of 12%. Members of CEDRR receive a 1% discount on the rate.

All rates are fixed for the term of the loan. Terms will vary depending on the type of financing and typically range from three to ten years. CEDRR funds are available to finance up to 75% of all project costs.

A non-refundable $100. 00 application fee is required. If the loan is approved, a 1% commitment fee is required, and additional closing costs may apply.

Applications may be obtained by clicking one of the blue ‘Apply’ buttons found on this page (either above or below will direct you to the application). As with other lenders, our Revolving Loan Fund requires the development of a sound business plan clearly describing the business and the proposed use of the new funds. The plan should address the industry and its trends, the market, and the company’s management and operations.

Historical financial information is required along with projected operating results. If you have further questions about the application process, kindly call the Chamber & Economic Development of the Rutland Region office at (802) 773-2747. ### When are applications reviewed?

Applications are reviewed monthly by the Finance Committee. The meeting schedule and deadlines are available by contacting the Chamber & Economic Development of the Rutland Region office. A non-refundable application fee is required.