CAN DO, Inc., the economic development organization serving Greater Hazleton and beyond, announced updated interest rate options for Pennsylvania Industrial Development Authority (PIDA) products and loans for the 2015 third quarter.
PIDA provides funding up to 50 percent of project costs for eligible businesses that commit to creating and retaining full-time jobs. PIDA loan applications can only be packaged, underwritten and submitted by Certified Economic Development Organizations such as CAN DO, which is authorized to provide these services in the Greater Hazleton and Luzerne County areas.
The new rates are in effect for loan applications received through September 30, 2015.
"CAN DO is a Certified Economic Development Organization for the Commonwealth of Pennsylvania,” CAN DO Director of Economic Development James C. Kelshaw said. “Business owners should contact CAN DO for assistance with PIDA financing as well as any other financing needs.”
Borrowers seeking real estate loans for financing eligible land and building costs for owner-occupied property acquisition, and expansion, or industrial multi-tenant buildings will have two interest rate options. The first is a fixed interested rate for the full term of the loan (up to 15 years) at a fixed rate of 3.75 percent. The second option is a seven-year fixed rate of 2.75 percent with a reset for the remaining term. Loans can go up to a maximum of $2,250,000.
Equipment loans will have a 3.75 percent fixed rate for up to a 10-year term with a maximum loan amount of $400,000.
To be eligible for real estate or equipment loans from PIDA, borrowers must commit to creating one full-time job for every $50,000 borrowed or retain one full-time job for every $35,000 borrowed over a three-year period.
PIDA now also offers working capital and accounts receivable lines of credit that will hold a 3.75% fixed rate for a one-year period.
Eligible businesses, with the exception of mining enterprises and developers, with 100 or less full-time employees can receive up to $100,000. A match is not required except for service enterprises, which are required to match 50 percent. Eligible businesses with less than 250 full-time employees involved in exporting activities can receive up to $350,000 and no match is required.
Pollution prevention and energy efficiency loans now have a 2 percent fixed rate for the full term of the loan.
For more information on accessing the new rates, contact James C. Kelshaw at CAN DO, Inc., at (570) 455-1508.