5240 Knowledge Parkway, Erie, PA 16510-4658

Phone: (814) 899-6022, Fax: (814) 899-0250, Website: www.connectforsuccess.org

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Enterprise Development Fund of Erie County

« Back to Financing and Incentives

Enterprise Development Fund of Erie County: The Enterprise Development Fund of Erie County, Inc. is a local revolving loan fund established in 1987 by the Economic Development Corporation of Erie County. The Fund was established to provide a stable interest rate and credit enhancement through second-lien lending for small businesses in Erie County

Small businesses can receive a Fund loan for the acquisition of land and buildings, machinery and equipment, or working capital needs. Loans are made for projects which would not go forward but for the Fund loan. All eligible projects should have the goal of job creation as a result of Fund financing. One new, full-time job should be created within three years for each $25,000 loaned for the project. Consideration will however be given to projects that retain jobs. Priority loan status is given to projects located at sites that were developed with federal and state investment, such as the Fairview Business Park, Baldwin Business Park, Bundy Industrial Park, Veshecco Industrial Park, East 12th Street Industrial Park, Albion-Cranesville Industrial Park and the small business development incubators.

The Fund can provide financing up to 50% of the total project costs or a maximum of $150,000. The interest rate is fixed at 4% at the time of loan closing. The terms of the loan generally are as follows:

  • Used machinery and equipment 5 years
  • New machinery and equipment 7 years
  • Land and building 10 years

In construction or acquisition projects, a short term of interest only payments can be negotiated before the amortization begins. Generally, the loan is a second lien on business assets. It some cases, the Fund will be in third position when a private lender or state authority require superior position

Contact

R. Larry Bossolt, Vice President
Economic Development Corporation of Erie County
5240 Knowledge Parkway, Erie, PA 16510-4658
Telephone: (814) 899-6022 | FAX: (814) 899-0250
E-mail: lbossolt@edcec.org(Email

Contact

5240 Knowledge Parkway
Erie, PA 16510-4658

Ph: (814) 899-6022
Fax: (814) 899-0250
Email: KSmith@edcec.org