SBDC and Energize-ECI Collaborate with USDA on ECI Rural Revolving Loan Fund Program to Serve Area
10/27/2009
(E-ECI), and Philip Lehmkuhler, State Director of the United States Department of Agriculture (USDA) Rural Development in Indiana, announced that the organizations have collaborated to make available a new Rural Revolving Loan Fund (RRLF) program to qualifying businesses in East Central Indiana. The announcement took place October 26th at the Energize-ECI Engagement Center in Muncie, where Mr. Lehmkuhler presented Mr. Baker and Mr. Budd a check for $50,000 to initially fund the ECI Rural Revolving Loan Fund.
The ECI Rural Revolving Loan Fund loans are administered by the East Central regional SBDC office with Mike Schmaltz of Star Financial Bank acting as financial advisor. The SBDC directs the prospective client though the application process. Qualifying applicants are then reviewed by the SBDC RRLF Board, which consists of a member from each of the nine counties in the region. Interest rates charged on RRLF loans are considerably less than conventional commercial loan market rates. To be eligible to apply for a loan, qualifying rural businesses must be located in Blackford, Delaware, Fayette, Grant, Henry, Jay, Madison, Randolph and Rush counties. Applicants must be registered as a SBDC client, have a completed business plan and have received a recent loan “turn-down” letter from a bank. Businesses interested in learning more about the program should contact Ted Baker, Regional SBDC Director or Vickie Bevans, SBDC Project Coordinator for the East Central Small Business Development Center, located in the Energize-ECI Engagement Center, 122 E. Main St., Muncie. Phone 866.576.7232 (toll-free), 765.282.9950 or email eastcentral@isbdc.org.
USDA Development State Director Phil Lehmkuhler said, “With the establishment of a revolving loan fund, Energize East Central Indiana will be able to assist numerous rural small businesses who, in the past, have had very few options for alternatives to traditional bank financing. The revolving loan fund will assist rural small businesses in Blackford, Delaware, Fayette, Grant, Henry, Jay, Madison, Randolph and Rush counties.”
This latest grant is one of several recently awarded in Indiana by USDA Rural Development. “These grants are in keeping with the mission of USDA Rural Development which is to provide equity and technical assistance to finance and foster growth in homeownership, business development, and critical community and technology infrastructure,” added Lehmkuhler. “USDA Rural Development is committed to improving the quality of life in rural Indiana. When rural Indiana makes progress, all of Indiana benefits.”
“The East Central Indiana Small Business Development Center is very pleased to have this opportunity available as we assist businesses in the rural areas of our region,” advised Ted Baker, SBDC Regional Director. “We look forward to bringing qualified candidates to the ECI Revolving Loan Fund Board for the possibility of receiving funds for their businesses. Thank you Energize-ECI for your vision and leadership in this cause.”
According to Roy Budd, Executive Director of Energize-ECI, Inc., “The opportunity to help existing rural small businesses fits our mission of regional economic development, so when Vickie Bevans of the SBDC brought the USDA program to our attention and needed an organization to obtain the RRLF grant, I asked Brad Bookout, Energize-ECI Resource Development Manager, to get involved. Brad applied for the grant with the assistance of the SBDC office, making available the initial $50,000 to begin the fund. Energize-ECI’s involvement is only from the grant writing perspective and serving as the holder of funds. The Small Business Development Center has the contract to actually manage all aspects of the RRLF loan program here in East Central Indiana.”
About the Indiana Small Business Development Corporation
The Small Business Development Center (SBDC) network has been serving small businesses and entrepreneurs since 1985, providing expert training, counsel and networking to Indiana business owner’s and people wanting to start a business. Now being hosted by Ivy Tech Community College, SBDC consulting services are offered free of charge to start-ups, new businesses, existing businesses and people with an idea for a business. >From business feasibility studies, business plan development, strategic planning and how to secure financing, the SBDC has a host of professional services personalized for specific needs. The East Central SBDC region has offices in Muncie and Richmond, serving eleven area counties. The SBDC phone numbers are (toll-free) 866.596.7232 and 765.282.9950, or email eastcentral@isbdc.org.
About Energize-ECI, Inc.
Established in 2005, Energize-ECI, Inc. develops a mission of globally marketing the 9-county East Central Indiana region and teaming with local economic development organizations (LEDOs) in Blackford, Delaware, Fayette, Grant, Henry, Jay, Madison, Randolph and Rush counties to bring new jobs and commercial investment to the area.
For more information about Energize-ECI, Inc. visit their website www.energize-eci.org. The organization may be contacted at the Energize-ECI Engagement Center, 122 E, Main St., Muncie, IN 47305 (P.O. Box 1912, Muncie, IN 47308-1912); by phone at (765) 254.1420; fax (765) 254.1450 and by email info@energize-eci.org. Energize-ECI’s Regional Report newsletters and news releases, summarizing recent economic development highlights in East Central Indiana, are available on the website.
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