Plaza South, Suite 100
100 East Reynolds Street
New Castle, PA 16101
724-658-1488 Phone
724-658-0313 Fax
info@lawrencecounty.com

Local And Regional Business Financing Loan Programs

Lawrence County Economic Development Corporation Revolving Loan Fund (LCEDC RLF)

Purpose

The Lawrence County Economic Development Corporation Revolving Loan Fund (LCEDC RLF) provides low-interest financing for land and building acquisition and construction, machinery and equipment purchases, and working capital to businesses unable to fully finance these projects with equity, bank financing, or other private and public sources.

Eligible Applicants

Any project except mercantile, commercial, or retail operations or personal or professional services. Eligible applicants include, but not limited to, business-to-business enterprises, industrial enterprise, manufacturing enterprises, research and development, export and computer related services.

Eligible Uses of Funds

Land and building acquisition and construction, machinery and equipment purchases and upgrades and working capital needs.

Limitations

The maximum loan amount for land and building acquisition and construction, and machinery and equipment purchases and upgrades is $100,000 or 50% of the total project cost, whichever is less. The maximum loan amount for working capital is $50,000 or 50% of the total project cost, whichever is less. At least one full-time job must be created or preserved within three years from the completion of the project for each $35,000 borrowed.

Conditions

The LCEDC's Loan Review Committee must approve all loan applications.

Rates and Terms

Interest rate shall be set at 75% of prime as reported by The Wall Street Journal, fixed at time of commitment. Five-year term for working capital, 7-year term for machinery and equipment, and 10-year term for land and building

Collateral

Loans must be secured at the highest lien position available on one or more assets. LCEDC may require personal guarantees of principals.

Lawrence County Enterprise Zone Revolving Loan Fund (LCEZ)

Purpose

The Lawrence County Enterprise Zone (LCEZ) provides low-interest financing for land and building acquisition and construction and machinery and equipment purchases to businesses unable to fully finance these projects with equity, bank financing, or other private and public sources. Municipalities included in the Lawrence County Enterprise Zone are the City of New Castle, Taylor Township, Neshannock Township, Shenango Township, Union Township and North Beaver Township.

Eligible Applicants

Any industrial enterprise, manufacturing enterprises, research and development, export and computer related services business.

Eligible Uses of Funds

Land and building acquisition and construction, machinery and equipment purchases and upgrades.

Limitations

At least one full-time job must be created or preserved within three years from the completion of the project for each $35,000 borrowed. Loans up to $500,000 or 30% of the eligible project cost, whichever is less.

Conditions

The appropriate local Loan Review Committee must approve all loan applications.

Rates and Terms

Interest rate shall be set at 75% of prime as reported by The Wall Street Journal, fixed at time of commitment, up to a seven-year term for machinery and equipment and up to a fifteen-year term for land and building.

Collateral

Loans must be secured at the highest lien position available on one or more assets and personal guarantees of principals are required.

City of New Castle Enterprise Zone Revolving Loan Fund (NCEZ)

Purpose

The New Castle Enterprise Zone (NCEZ) provides low-interest financing for land and building acquisition and construction and machinery and equipment purchases to businesses unable to fully finance these projects with equity, bank financing, or other private and public sources for projects located in the boundaries of the New Castle Enterprise Zone.

Eligible Applicants

Any industrial enterprises, manufacturing enterprises, research and development, export and computer related services business.

Eligible Uses of Funds

Land and building acquisition and construction, machinery and equipment purchases and upgrades.

Limitations

At least one full-time job must be created or preserved within three years from the completion of the project for each $35,000 borrowed. Loans up to $500,000 or 30% of the eligible project cost, whichever is less.

Conditions

The appropriate local Loan Review Committee must approve all loan applications.

Rates and Terms

Interest rate shall be set at 3%. Up to a seven-year term for machinery and equipment and up to a fifteen-year term for land and building.

Collateral

Loans must be secured at the highest lien position available on one or more assets and personal guarantees of principals are required.

Ellwood City Enterprise Zone (ECEZ)

Purpose

The Ellwood City Enterprise Zone (ECEZ) provides low-interest financing for land and building acquisition and construction and machinery and equipment purchases to businesses unable to fully finance these projects with equity, bank financing, or other private and public sources for projects located in the boundaries of the Ellwood City Enterprise Zone.

Eligible Applicants

Any industrial enterprises, manufacturing enterprises, research and development, export and computer related services business.

Eligible Uses of Funds

Land and building acquisition and construction, machinery and equipment purchases and upgrades.

Limitations

At least one full-time job must be created or preserved within three years from the completion of the project for each $35,000 borrowed.

Conditions

The appropriate local Loan Review Committee must approve all loan applications.

Rates and Terms

Set by the Borough of Ellwood City.

Collateral

Loans must be secured at the highest lien position available on one or more assets and personal guarantees of principals are required

Northwest Commission Revolving Loan Fund

Purpose

Provides low-interest financing for land and building acquisition, machinery and equipment purchases, and working capital to businesses unable to fully finance these projects with equity, bank financing, or other private and public sources.

Eligible Applicants

Manufacturing or industrial business

Eligible Uses of Funds

Land acquisition, preparation and associated expenses Machinery and equipment purchases (new or used) and related expenses Working Capital (major expansions only)

Limitations

The maximum loan amount for land and building acquisition, and machinery and equipment purchases and upgrades is $200,000 or 50% of the total project cost, whichever is less. The maximum loan amount for working capital is $100,000 or 50% of the total project cost, whichever is less. At least one full-time job must be created or preserved within three years from the completion of the project for each $15,000 borrowed.

Conditions

RLF loans require a 1:1 private sector match. At least a 10% cash injection is required from the owner.

Rates and Terms

Collateral

Must collateralize assets financed. Will subordinate lien position to bank. Personal and corporate guarantees may be required.