CDA

DIRECT LOANS

  • About the Program:
    1. Direct senior and subordinated loans
    2. Selective
      • Mezzanine investments
      • Environmental remediation and redevelopment
      • Inducement—below market interest rate—loans for significant expansion or relocation
    3. Can be coupled with loans or investments from other public- or private-sector sources
  • Eligibility:
    1. Economic base business that will maintain or create employment
    2. Direct loans and mezzanine investments are not available for:
      • Residential
      • Non-owner occupied real estate
      • Retail or personal services (eligible under URBANK)
      • Not-for-profits (may be eligible under URBANK)
  • Use of Proceeds:
    1. Term working capital
    2. Machinery and equipment
    3. Purchase, construction, expansion, or upgrading facilities
    4. Mortgages or owner-occupied real property
    5. Brownfields remediation and redevelopment
  • Amount: $250,000 to $5 million
  • Loan Terms:
    1. Personal guarantee of owner(s)
    2. CDA assistance up to $20,000 per job created or retained
    3. Debt-service capability is evident
    4. Interest rate appropriate to requested assistance plus standard fees and documentation
    5. Maturity tailored to transaction—up to 20 years
  • Benefits to Borrower:
    1. Access to loan that is otherwise unavailable
    2. Extended maturity
    3. Draw downs permitted during first 12 months
    4. No repayment penalties
  • Borrower's Process:

    Contact::

    Linda L. Wieleba
    860.258.7894

    		  

     

    		  

    See our CDA Lending Partners.

  • For Additional Information on All CDA Programs: Contact CDA by email.
  • Applications:

    Direct Loan Application

  • Other Helpful Documents:

    Personal Financial Statement
    Comprehensive Business Plan Outline
    Financing Business Plan Outline