Tioga County Industrial Development Agency (TCIDA) is a program meant to provide low interest loans to start up and expanding businesses operating in Tioga County. TCIDA has continued from 1996 to lend 2.2 million dollars to Tioga County businesses.
An initial amount of $1,387,326 has been successfully compounded to $2,203,450 by TCIDA. This amount has been obtained through the United States Department of Agriculture (USDA) and forty eight small businesses have been funded. The Industrial Development Agency is able to expand this loan fund because when borrowers start to repay back loans, money flow back to the Revolving Loan Fund that helps people make other loans.
The interest rate of TCIDA is fixed at 5% and the term varies with the use of funds. TCIDA funds are not meant to provide a substitute for conventional lending sources. Rather the fund is meant to fill in the possible financing gaps. One requirement of the fund is that borrowers should have at-least 5% of their own equity into the project. TCIDA can then finance businesses ranging to an amount of $100,000. Job creation and retention are also requirement of the program. For every $40,000 loaned, one full time job must be created.
This article was submitted by Raj Tulshan, Director of Business Development of Biz2Credit. Biz2Credit is a small business marketplace that connects entrepreneurs with financing options and advice to grow their business. Send all questions to email@example.com