Lake Crystal Revolving Loan Fund Program


 

The major mission of the City of Lake Crystal Economic Development Loan Program is to initiate, facilitate, and promote legitimate economic/industrial development interest in the Lake Crystal area. Program money is intended to complement, not replace, existing development efforts.

 

The program is intended to be a permanent revolving fund where money is available for new loans on a continuing basis as loans are repaid. Loans under this program will serve as matching funds, up to fifty percent (50%) of the total project cost, to leverage financing from private sources to expand or improve existing business or industry or assist in developing new business or industry. The Lake Crystal Economic Development Authority does not intend the loan program becoming the primary source of a project’s development funding.

 


 

Loan Guidelines and Terms

Application for funds under this program shall be submitted to the Lake Crystal Economic Development Authority. Upon the initial approval of an applicant’s loan request by the Lake Crystal Economic Development Authority, the City Council will review, approve or deny, and authorize payment of funds to the applicant(s) upon. Loans to eligible entities shall range from a minimum of $5,000 to a maximum of $50,000. The Lake Crystal Economic Development Authority may consider loan requests exceeding the $50,000 maximum if two-thirds (5 Board Members) of the Lake Crystal Economic Development Authority agree.

  • Loans shall not exceed fifty percent (50%) of the projected costs of the proposed project.
  • The loan period shall be five (5) years: however, the term may be negotiated up to ten (10) years.
  • Interest rate shall be a one percent (1%) over current Prime Rate.

 


 

The Guidelines and Application are below.  Reach out to Bryan Stading at bryan.stading@cedausa.com to determine if your business qualifies for this funding source.