• Home
• Site Selectors
• Local Business Development
• Sites and Buildings
• Economic Gardening
• Community Profile
• Enterprise Loan Fund
• Sites and Buildings
• Community Profile
• Agriculture

Enterprise Loan Fund

The Enterprise Loan Fund is for “gap financing” of business ventures that create and retain job opportunities in Dubois County.

Eligibility for this loan program is based upon location within the geographical boundaries of Dubois County, Indiana. Loans will be targeted to industrial and commercial business organizations where potential job creation and retention are greatest. The ELF will also target loans to businesses and industries with economic growth potential that would have additional positive economic impacts within Dubois County and the surrounding area.

Click here for links to tools and resources related to new business develop.

Job/Cost ratio: Maximum of $10,000 in RLF funds per job created

Interest rates and terms are negotiable

Minimum will a four (4) percentage points below the current money center prime rate quoted in the Wall Street Journal or the maximum interest rate allowed under State law, whichever if lower, but in no event may the interest rate be less than four percent (4%).

Application form

• Microsoft Word Format
• Adobe Acrobat .pdf Format

Enterprise Loan Fund Brochure

• Microsoft Word Format
• Adobe Acrobat .pdf Format

Loan Types:

• Venture capital- Venture capital loans will be made for the gap financing.
• Expansion- Businesses to expand existing operations within the county. The expansion must create or retain a significant amount of the employment opportunities affected by the expansion being financed.
• Working capital- Working capital loans for businesses that need short term assistance to complete an expansion program. Loans will be collateralized with assets appropriate to the loan type and activities to be performed.

Thresholds:

Minimum equity requirement of ten percent (10%) by borrower

Minimum equity requirement of fifty percent (50%) by borrower for working capital loans

Ineligible projects include the following:

• Projects that are located outside of Dubois County,
• Loans which assist with the relocation of jobs from one commuting area to another,
• Loans for the purpose of investing in interest bearing accounts
• Certificates of deposit
• Investments not related to job creation/retention
• Speculative activities or equity contributions required from borrowers in other Federal loan programs,
• Loans that may be considered or present the appearance of being a conflict of interest for an officer or an employee of the grantee or any member of the LRC, ELF, and DCADC that participates in the decision making on ELF loans shall be prohibited
• Acquire equity position in a private business
• Subsidize interest payments on an existing loan
• Provide the equity contribution required of borrowers under other Federal loan programs
• Enable the ELF borrower to acquire an interest in a business, either through the purchase of stock of through the acquisition of assets, unless the need for ELF financing is sufficiently justified, and documented in the loan application
• Refinance existing debt unless:
  • there is sound economic justification and the grant recipient provides sufficient documentation in the loan applicant write-up that the ELF is not replacing private capital solely for the purpose of reducing the risk of loss to an existing lender(s) or to lower the cost of financing to a borrower, or

(2) an Applicant uses ELF income sources and/or recycled ELF funds to purchase the rights of a prior lien holder during an in-process foreclosure action in order to preclude a significant loss on an ELF loan. This action may be undertaken only if there is a high probability of receiving compensation within a reason time period (18 months) from the sale of assets sufficient to cover an ELF’s expenses plus a reasonable portion of the outstanding loan obligation.

• Guarantee loans made by other lenders.

Projects not "normally" considered:

• Franchise businesses;
• Projects without the proper permits, licensing, patents, or certification in place prior to operations;
• Projects that are historically noncompetitive or previously unsuccessful;
• Businesses or individuals who are delinquent with local, state or federal tax liabilities;
• Businesses or applicants that are not current with other loans.