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One Loan Approved – Two Loans Closed
In June, the Loan Committee approved one loan:
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Thompson
Maple Products, Inc.
The Northwest Commission closed two loans:
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Tiny Tim’s
Fishing Charters, Inc. in Erie County received a $41,000 Microloan to
purchase a passenger boat. The company is starting a fishing
charter business. The vessel will be named O DANNY O.
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Diadem
Enterprises LLC d/b/a Queen City Café & Gallery of Crawford
County closed on a $20,000 microloan for machinery and
equipment. The company is a start up café and art gallery
located in Titusville and will offer many different food
items as well as showcase art from local artists.
RLF Funds
Available
The Commission has funds available in it's Revolving Loan Fund
(RLF) program for building or equipment purchase. The RLF
program can finance up to 50% of eligible project costs and
requires at least 10% equity into the project. The Commission
can finance new or used equipment. The current rate on the RLF
is 4% fixed for the term of the loan. Machinery & equipment
can be financed for a term up to seven years and land &
building projects can be financed for a term up to 15 years.
If you are planning an expansion and would like information
about the RLF program, please call Daryl Coyne at 814.677.4800
x112.
SBF and FIF
loan rate decreased to 4%
The Small Business First (SBF) loan program rate is 4% this
quarter, July through September. Also, the CFA Board approved
setting quarterly rates for the First Industries Fund. The
rate through September for First Industries Fund Tourism and
Agriculture loans is also 4%. If the Agriculture project is
located in an Agriculture Security Area or is enrolled in a
farmland preservation program or the project involves an urban
or rural supermarket, the project may receive a 1% reduction in
the rate to 3% fixed. Both SBF and FIF loan rates are fixed at
time of approval for the term of the loan.
Biomass Crop Assistance Program through USDA
Marginal or
abandoned crop ground in northeastern Ohio and northwestern
Pennsylvania may find new life in a new crop. A $5.7 million
USDA grant has been awarded to
Aloterra Energy, with local
headquarters in Ashtabula County, to establish a biomass crop
of giant miscanthus as a renewable biomass feedstock for
Aloterra's biomass conversion facility in Conneaut. The
conversion plant will process the giant miscanthus stems into
pellets to be shipped to other facilities or users for use in
bioenergy products.
The grant is
part of the
Biomass Crop Assistance Program (BCAP)
authorized by the 2008 farm bill. The Oh/PA grant was one of
four project awards announced June 15. Other biomass grants
were awarded in Arkansas, and in Aurora, Mo., and Columbia, Mo.
MFA Oil Biomass, a partnership
between Aloterra Energy and
MFA Oil Company, will
operate these project areas.
The Oh/PA
project now has guaranteed funding for 5,344 acres in 2011,
which will go to the first farmers to sign up in Ashtabula,
Geauga Lake and Trumbull counties in Ohio and Crawford, Erie
and Mercer counties in Pennsylvania. The goal is to establish
50,000 acres of miscanthus by 2014. The sign-up period opened
June 20th, with a deadline yet to be determined. Farmers
interested in participating in the project area should contact Aloterra first, and then finalize enrollment at their local
Farm Service Agency office.
Under current
guidelines, BCAP will reimburse farmers up to 75 percent of
planting costs and pay an annual rent payment (the amount was
not announced) for five years while farmers wait for their
crops to mature. Once the crops mature, farmers will be
eligible to receive two years of matching payments for their
tonnage, up to $45 per ton beyond the selling price. The
miscanthus crop could be in place for as long as 20 to 30
years.
Click here for a list of upcoming events available to small
businesses in the area!
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