CRDC is one of 20 Organizations Nationwide Selected to Participate in the U.S Small Business Administration Intermediary Lending Pilot Program
The Capital Regional Development Council (CRDC) was recently awarded a $1.0 million loan from the U.S. Small Business Administration under the Stimulus Funded, Intermediary Lending Pilot (ILP) Program CRDC is among only 20 organizations nationwide that were awarded the loan – a total of $20 million was dispersed. CRDC is non-profit development corporation that provides a variety of economic development services and small business loans to businesses and local governments throughout New Hampshire.
“This resource will add to CRDC’s growing diverse direct lending tools,” said Stephen Heavener, CRDC Executive Director. “We will work to deploy all of the funds as quickly as the market can absorb them with an initial $500,000 budgeted for 2013. Unlike other government funded loans administered by CRDC such as the USDA funded IRP loan program, this program permits direct lending in cities that have a population of 25,000 or greater – great news for small businesses in Manchester and Nashua. The funds are available throughout New Hampshire.
“One of the most important ways SBA can foster business development and support underserved markets is through increasing the points of access to capital,” stated Robert H. Nelson, SBA Acting Regional Administrator. “Partnering with community lenders has proven to be an effective way to reach start-ups and those small businesses that have been disproportionately affected by the recession. Under the guidelines of the ILP Program CRDC is allowed to fund eligible businesses up to $200,000. According to Heavener, small businesses may use the loan proceeds for working capital, real estate (some guidelines apply), or the acquisition of materials, supplies, furniture, or equipment. CRDC deploys most of its loan programs working in close coordination with New Hampshire’s banks, providing loan funds to business borrowers to fill financing gaps. This new program will follow the same guidelines.“Financing start-ups and meeting the demand for small loans continues to be the greatest challenge reported by our New Hampshire lending partners,” added SBA district directorGreta Johansson. “We look forward to working with CRDC as they continue to seek ways of meeting that demand.”For more information about the ILP Program call CRDC Executive Director, Stephen Heavener at 603.369.6000.