Areas Served: Clearwater, Idaho, Latah, Lewis and Nez Perce Counties in Idaho AND Asotin, Columbia, Garfield and Whitman Counties in Washington
Clearwater Economic Development Association (CEDA) Small Business Development financing is available for projects and/or portions of projects that have potential for positive economic impact on the region or local community, but do not meet conventional lending guidelines.
The two basic formats available include “Gap Financing” and “Micro Loans”.
Gap Financing loans are issued in conjunction with, and simultaneously to, bank financing for the same project.
A typical project might include 10% owner investment, 60% bank financing and 30% CEDA financing.
CEDA often accepts a lien position on collateral subordinate to that of the participating bank.
Micro Loan projects typically do not include a bank partner and are used for equipment purchase, inventory and/or working capital.
Maximum loan amounts vary by program and are dependent upon the number of jobs impacted and the amount of funding for the project from other sources.
CEDA staff will be able to provide clarification based on your specific needs and current situation.
Lending Area – The Business activity must be located within CEDA’s service area which includes: Clearwater, Idaho, Latah, Lewis and Nez Perce Counties in Idaho AND Asotin, Columbia, Garfield and Whitman Counties in Washington.
Additional restrictions may apply to specific areas within the nine county area.
Eligible Uses of Funds – Land, existing buildings, new construction, equipment and/or inventory involved in the start-up, expansion or retention of viable business development projects.
Ineligible Uses include speculative real property, agriculture production, livestock, gambling facilities, intangible assets, refinancing existing loans (some exceptions) and rental housing (including mobile home parks).
Projects that result in the relocation of jobs from one commuting area to another to the detriment of local workers are also ineligible.
Collateral sufficient to reasonably assure the repayment of the loan is required.
Borrowers should have: · experience and training in the industry in which they plan to operate.
· reasonable credit histories.
· organized and complete financial records and financial projections.
· a written proposal and supporting documents that demonstrate a reasonable expectation that the project will result in cash flows and profits that are sufficient to service all debt and provide an adequate income for the owners.
· an appropriate team of qualified staff and/or advisors (financial, marketing, production, etc.
).
Contact InformationClearwater Economic Development Association
Address: 1626 6th Avenue North
City: Lewiston
State: Idaho
Website:
http://www.clearwater-eda.org/DrawOnePage.aspx?PageID=10
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