Davis Loan Fund Available for New and Expanding Local Businesses

The Davis Fund for Economic Development recently unveiled its new business loan program designed to create jobs and help grow the Davis County economy by providing financing options to viable businesses. Who Can Apply? The Davis Fund is open to businesses located within Davis County.

The Davis Business Loan Fund originally started in the 1980’s with CDBG funds. It has since evolved and is no longer tied to federal guidelines. Today, the Business Development Fund (BDF) program is funded and operated with past loan repayments by a 501 c 3, and is owned by Davis County Council of Governments Inc. (a non-profit organization). This program is a useful tool intended to promote business growth and expansion. The goal is to create jobs and promote new and expanding Davis County businesses.

Loan Amount

Loan amounts are always subject to availability of funds. There is no set maximum, but generally loans should be for amounts greater than $50,000.

Interest Rate and Terms

The rate is based on current loan rates and risk levels. The term of the loan cannot be longer than five years. Amortization can be longer with a balloon payment due option.

Collateral and Repayment

Security is required. This may include liens on business or personal assets. Personal guarantees of the principal owners (more than 20 percent of the firm) will be required. A monthly repayment schedule is developed. Interest and/or principal payments may be deferred one year if justified in the loan proposal.

Use of Funds

If your business is approved for a loan through the Davis Fund, you may use the funding for a wide array of expenses including FFE, working capital, inventory, and construction or gap financing.

Who Can Apply?

The Davis Fund is open to businesses located in Davis County. If you are in need of funding, contact the Davis County Department of Community and Economic Development at: davisfund@co.davis.ut.us today to see if this is the right fit for you.

How to Apply

Applications for loans are available at the Davis County Department of Community and Economic Development offices at the Davis County Administration Building, room 304. Or, simply send an email inquiry to: davisfund@co.davis.ut.us (no application fee).

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