Areas Served: Fayette, Lauderdale, Shelby and Tipton counties
The Economic Development Administration (EDA) Revolving Loan Fund Program (RLF) supplies Tennessee small businesses and entrepreneurs loans in Fayette, Lauderdale, Shelby and Tipton counties with the primary purpose of creating and retaining jobs.
These loans are commonly referred to as Gap Financing because we stand in the gap between the borrower and other lending institutions.
The revolving loan fund has grown to become an integral part of the small business loan package.
Borrowers benefit from flexible and favorable terms, and financial institutions enjoy lower overall risk in supporting small businesses.
The results include new jobs, new businesses, and a healthier local economy.
MAAG is an EDA-approved economic development district organization, and, as such, is an RLF administrator.
Loans are based upon the borrower’s needs, repayment ability, what the borrowers is financing and confirmation that jobs will be created.
Interest rates are determined by perceived credit risk and are two percentage points below the current prime rate with a floor of four percent.
The MAAG RFL program is designed to boost local strategies that enable the community to invest in small businesses and entrepreneurial initiatives, encouraging the creation, retention, and expansion of jobs helping grow the local economy.
MAAG revolving loan funds are eligible for the following: · Business startup · Expansion and conversion costs · Working capital MAAG revolving loans are not eligible for the following: · Agricultural producers · Charitable organizations · Golf courses · Lending institutions · Investment and insurance companies · Television services · Any illegal operation MAAG revolving loans traditionally have negotiable terms with a maximum of 15 years on real estate and 7 years on equipment.
Contact InformationMemphis Area Association of Governments
Address: 8289 Cordova Road, Suite 103
City: Cordova
State: Tennessee
Website:
http://maagov.org/index.php?option=com_content&view=article&id=52&Itemid=61
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