Revolving Loan Fund

The Revolving Loan Fund (RLF) uses capital provided by the Economic Development Administration, Mid-MO Regional Planning Commission (RPC), and local partners for low-interest loans to help qualified businesses locate, expand, or remain in the Mid-MO Region. RLF loans are supplemental; providing a portion of the total needed for a project. The balance must be obtained through conventional sources, i.e. bank financing or equity.

Revolving Loan Fund (RLF)

How RLF Works

The Mid-MO Regional Planning Commission Revolving Loan Fund (RLF) is available to all borrowers and approved by a seven-member board comprised of representatives from throughout the six-county region.

The RLF is designed to provide gap financing targeted to businesses that cannot obtain full financing for their projects through conventional lending channels.

The RLF Purpose

The RLF is designed to work in partnership with the region's commercial banks to provide existing businesses and startups in the Mid-MO region with the full financing needed for their ventures when traditional lending alone is insufficient.

Available to Private & Public Borrowers

Competitive
Fixed Interest Rates

Loans Up To
$250,000

10% Injection
From Borrower

Repayment Terms
From 5-20 Years

REVOLVING LOAN FUND (RLF) money in action

Working Capital
Machinery, equipment and supplies, and leasehold improvements
Purchase of land and buildings
Building construction, conversion, enlargement, repair, or modernization
Tourist and Recreational Facilities
Educational Institutions
Business/Industrial Acquisitions with job creation and/or retention
Business Relocation Expenditures - if necessary to create and/or retain jobs
Vehicles - if necessary to create and/or retain jobs
Start-Up Costs
Reasonable fees and charges related to the loan

Who Can Apply?

Most RLF loans will be made to private, for-profit borrowers. RLF loans may also be used by non-profit entities and public bodies. RLF funds for public projects must be used to retain or create jobs.

How Much Can Be borrowed?

The maximum preferred loan size is $250,000. Loan requests of up to $350,000 must include a letter of support from a local economic development organization.

REVOLVING
LOAN FUND

SERVING

Boone • Callaway • Cole • Cooper • Howard • Moniteau

Equity & Collateral

10% injection from Borrower
30% RLF participation, maximum of 40%
60% Bank participation, minimum of 50%

A request will not be declined solely on the basis of inadequate collateral. However, all available business assets will be taken as collateral to help insure the repayment ability of the loan in the event of default.

Interest rate & Loan Terms

General Terms:

5 years: Working Capital, Inventory, Furniture and Fixtures.
10 years: Machinery and Equipment. Terms will not exceed the useful life of machinery and equipment.
10-20 years: Loans for real property, such as land and buildings. Generally, loans will be for 10 years, but may be amortized over 20.

All RLF interest rates will be fixed.

The minimum rate is 1% above the prime rate quoted in the Wall Street Journal.

More information

The fund is supported by:

Regional Economic Development, Inc (REDI)

Columbia Chamber of Commerce

Jefferson City Industrial Development Authority

Cole County Commission

Made possible by a grand from the U.S. Department of Commerce Economic Development Administration

Contact

David Bock

Executive Directordavidbock@midmorpc.org

or visit

www.midmorpc.org
573-657-9779

206 E. Broadway

Ashland, MO 65010

PO Box 140