Areas Served: Rabun County
The purpose of the fund is to provide gap financing to Rabun County Georgia businesses to assist with their establishment, growth and/or expansion.
Gap financing is defined as the difference between the total project cost, the owner’s/partner’s contribution and what has been borrowed from a lending institution (bank).
The RLF is not designed to fund 100% of the project cost but to supplement lending provided by commercial lenders.
Verification of other financing/investment in the project will be required except on smaller projects which will be considered on a case by case basis.
TERMS AND CONDITIONS Loan terms and conditions shall be structured on the basis of need and ability to repay.
Minimum standards include the following:
1) Loan Amount:
The amount of funds available for any single business enterprise shall range from a minimum of $5,000 to a maximum of $50,000. Requests for loan amounts in excess of $50,000 will be negotiated on a case-by-case basis.
2) Interest Rate:
The interest rate on each loan shall be a minimum of 5.75% with an optimal rate of Wall Street Journal Prime minus 1%.
The minimum rate is subject to change at any time.
Exceptions can be made if specific cases warrant them.
3) Loan Term:
Standard terms for RLF loans shall be as follows: a) Machinery, equipment, and fixtures-2 to 7 years; b) buildings and land-5 to 10 years; and c) working capital-1 to 5 years.
Amortization periods that exceed the loan term may be provided where appropriate
Contact Information
Development Authority of Rabun County
Address: P. O. Box 761
City: Clayton
State: Georgia
Website:
https://www.gamountains.com
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