Provide Your Venture With The Funding It Deserves
Dubois Strong Enterprise Loan Fund
ELF supports the retention and expansion of current businesses as well as establishing new business opportunities in Dubois County. This loan program offers independent loans to eligible entrepreneurs and small businesses offering minimum “gap” financing to assist the local financial institutions in creating a complete financial package. ELF serves as a compliment to the local resources rather than replacing or competing with traditional lenders.
Overview
The proposed Dubois Strong Enterprise Loan Fund (ELF) will make available three basic loan types:
VENTURE CAPITAL- Funding can be provided for the gap financing necessary for new business start-up.
EXPANSION- Funding can be provided to expand and/or retain 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 the activities the loan will fund.
The Dubois Strong (ELF) will provide only the minimum “gap” financing needed to assist the local financial institutions in completing a financing package. In this way, the ELF will compliment local resources rather than attempting to relace or compete with traditional lenders.
Eligible applicants include businesses that are for-profit and owned by any person, partnership, cooperative or corporation that will promote job creation or job retention. Businesses operations must exist or be located within Dubois County.
Typically, 10% of the total project cost must be furnished by the principal of the applicant as equity infusion. The actual equity required would depend on the type of the loan and other information provided by the applicant. Each loan shall be secured by appropriate collateral.
ELF loans must be leveraged by a private investment of at least two dollars for every one dollar ELF investment.
ELF Capital may not be used to:
Acquire equity position in a private business
Subsidized interest payments on an existing loan
Provide the equity contribution required of borrowers under the federal loan programs
Enable the ELF borrower to acquire an interest in a business.
A business plan containing the following information:
Management of the company
Internal/external financing options
Financial projections
Outline of specific use of funds
Reliable financial statements
Existing businesses are expected to supply at least 3 years of financial history
New business start-ups to provide evidence of credit worthiness