If you own a qualifying West Virginia-based company, your business may be eligible for a loan from the West Virginia Economic Development Authority from $100,000 to $15 million.
Administered by the WVEDA, the Direct Lending Program offers financial assistance to fund fixed assets for creditworthy businesses that align with the West Virginia Division of Economic Development’s objectives for job creation and retention, such as manufacturing concerns, distribution centers, technology-based service companies, and other targeted business classifications. Eligible applicants may be existing or prospective West Virginia businesses.
“The WVEDA Direct Lending Program is an important incentive for existing business within the state as well as companies looking at locating in West Virginia,” said Joe Brouse, director of financial services for the WVEDA. “The program can serve as an inducement for companies to invest in West Virginia by partnering with banks and providing competitive costs of capital all with the aim of retaining jobs and creating new employment opportunities that benefit the state’s long term growth”
Overview
These loans are available in the range of $100,000 to $15 million. Applications will be reviewed and approved by WVEDA based on the following criteria:
- Credit evaluation by WVEDA
- Demonstrated economic benefits to the State of West Virginia
- Projected job creation and/or retention
Application Requirements
The application process is simple–just make sure you have all the necessary information gathered for review. To determine project eligibility and the level of potential WVEDA participation, the following information is required for submission:
- A narrative description of your company’s history as well as a description of the proposed project and how it benefits your operation.
- A breakdown of project costs including land acquisition (excluding existing improvements); building acquisition or other improvements; site preparation, utilities, roads, etc.; construction; renovation; and machinery and/or equipment (excluding rolling stock).
- Company financial statements for the past four years (if applicable) as well as an interim company financial statement of the most recent month-end.
- Employment information including the current number of full-time equivalent employees, their salary or wage range and benefit package; number of new full-time equivalent employees anticipated as a result of the proposed project, their salary or wage range and benefit package; and an explanation if the proposed project is for job retention.
- Any other information you consider relevant to the project.
Loan Approvals
Once your company’s pre-application information has received a favorable review, WVEDA will provide you with a formal Application for Financial Assistance (Application).
Should a favorable decision be reached by the WVEDA Board of Directors, the borrower will receive a commitment letter for their review and signature. Once the borrower signs and returns the commitment letter, it will be presented to the WVEDA Board of Directors for final approval at their next regularly scheduled monthly meeting.
A thorough description of the Direct Lending Program can be found here. For additional questions or concerns about the program, contact the WVEDA at 304-558-3651.
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