PADD Revolving Loan Fund Program

Program Guidelines

• Projects financed may include manufacturing, service, or tourism related businesses.
• PADD is not a primary lender and will require other lender’s participation in a project to equal or exceed the PADD loan amount.  The maximum loan amount cannot exceed $250,000.
• Job creation requirements also impact maximum loan amount.
• Loan terms will match the life of the asset financed, but not exceed twenty years.
• Interest rates are currently set at 5 percent.
• Projects must be creditworthy and meet standard credit tests.
• Project owners must inject a minimum of 10% toward the project cost.
• Only fixed assets (land, buildings, and equipment) may be financed.
• Personal or corporate guarantees are normally required of principals.
• Projects must be evaluated from an environmental aspect.
• A $300 application fee is required with the application.

Application Process

• The PADD staff reviews loan applications for eligibility, creditworthiness, and completeness.
• The PADD Loan Review Committee and the PADD Board of Directors will make the final loan decision.