The Revolving Loan Fund (RLF) program offers low-interest loans to businesses in conjunction with bank financing. RLF funds are used in the event that full financing cannot be obtained from a bank, or to fill the gap between the bank’s participation and the borrower’s cash contribution. The RLF program cannot provide 100% financing of a project.
Eligible businesses must meet the following requirements: be private-for-profit, located in the OMEGA region, must have suitable bank financing, meet all government requirements and must show full financing cannot be obtained from any other source.
Pre-applications and the 2019 RLF Fact Sheet may be downloaded or obtained at the OMEGA office.
Contact the OMEGA office if you would like more information on this program or email the fund administrator at: lravak@omegadistrict.org
OMEGA RLF Committee Members – Secured Site
OMEGA Revolving Loan Fund Program
| Funding Sources: | Appalachian Regional Commission (ARC) Economic Development Administration (EDA) U.S. Dept. of Agriculture (USDA) |
| Eligible Borrowers: | Private-for-Profit businesses (startups or expansions) within the OMEGA ten county region. |
| Use of Proceeds: | Acquisition of buildings, machinery, equipment and other fixed assets; limited working capital; construction, repair and renovation of facilities (prevailing wage applies to all construction activities). |
| Rate: | 4-6% as determined by the Loan Review Committee. |
| Term: | Useful life of machinery and equipment Up to 20 years for real estate 3 years limited use working capital |
| Equity: | No less than 10% equity required (borrower’s cash contribution). |
| RLF Participation: | Approximately 30% of total project cost (up to a maximum of $300,000) may be eligible – whichever is achieved first on remaining balance after maximum bank participation and applicant’s equity contribution. Please note, the RLF cannot finance more than the bank. |
| Related Fees: | $100 Loan Origination Fee due with loan application $250 Loan Processing Fee due upon loan commitment 1% Servicing Fee, Attorney fees/closing costs due at loan closing All fees are non-refundable. |
| Additional Information: |
One full-time equivalent job must be created or retained for every $50,000 of Revolving Loan Fund financing. |
Who is Eligible?
Any private-for-profit business either in the startup or expansion phase that will be or is presently located within the OMEGA region and will be creating or retaining full-time equivalent jobs. The OMEGA region includes the following counties: Belmont, Carroll, Columbiana, Coshocton, Guernsey, Harrison, Holmes, Jefferson, Muskingum, and Tuscarawas.
Equal Credit Opportunity Notice
The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status, age (provided that the applicant has the capacity to enter into a binding contract); and because all or parts of the applicant’s income is derived from any public assistance program; or because the applicant has in good faith, exercised any rights under the Consumer Credit Protection
Act. The Federal Agency that administers compliance with this law concerning this creditor is the Federal Trade Commission. If a person believes they were denied assistance in violation of this law, they should contact the Federal Trade Commission, Washington, D.C. 20580.
Nondiscrimination Statement
In accordance with Federal law and U.S. Department of Agriculture policy, this institution is prohibited from discriminating on the basis of race, color, national origin, sex, religion, age, disability, or marital or family status. To file a complaint of discrimination, write USDA Director, Office of Civil Rights, Room 326- W, Whiten Building, 1400 Independence Avenue, SW, Washington, D.C. 20250-9410 or call 202-720-5964 (voice and TDD).
OMEGA is an Equal Opportunity provider and employer.