To promote local business expansion, Wasatch County participates in the Mountain Land Association of Governments' Revolving Loan Fund (RLF) program. The purpose of MAG's RLF is to create permanent, long-term jobs within the Mountainland region of Utah by providing “gap” and start-up financing to qualified businesses for eligible activities. Loans made through the Revolving Loan Fund are intended to help bridge the gap created by shortfalls in commercial financing. Funds are repaid into the program and recycled to other businesses, thus allowing an ongoing job creation program.
ELIGIBLE USES OF CAPITAL:
- Purchase of machinery/equipment or other fixed assets
- Working capital (including inventory, accounts receivable, operating expenses, and labor)
INELIGIBLE USES OF CAPITAL:
- Refinancing of existing debt
- Company relocation to another jurisdiction without job growth
LEVERAGE:
- The RLF program should work as a catalyst to stimulate the investment of private sector dollars. The borrower should make every effort to obtain private sector funding.
LOAN DETAILS:
- Interest rates will not exceed 5 points above the Wall Street Journal Prime Rate (fixed over the loan term).
- Loan terms of 6 months to 5 years will be available.
- Loans will range from $10,000-$100,000.
FEES:
- $75 non-refundable application fee
- $20 Credit Report Fee (unless you provide a recent copy including your credit score)
- Origination and recording fees are 1.5% of the RLF loan amount and are financed into the loan. These fees are used to defray administrative and monitoring expenses.
JOB CREATION:
- A borrower must agree to create and/or retain one job for every $25,000 (approx.) of Revolving Loan Fund money.
- 51% of jobs created should be filled by low or moderate income individuals.
Application and more details can be found online here.
