U.S. Department of Agriculture has selected three Vermont organizations to receive $2.0 million in loans to spur economic development.
Recipients have been selected for taxpayer-financed Intermediary Relending Program loans that capitalize long term community-based revolving loan funds.
These funds, in combination with bank loans, and business equity are often the final component of a business' financing needs. The program purpose is to create or retain jobs by starting or expanding businesses.
Vermont Economic Development Authority's (VEDA) two loan programs, Vermont Small Business Development Corporation and Vermont 504 Corporation, will have a total of $1.5 million to offer favorable financing to small businesses throughout Vermont.
The combined funding is projected to create 40 jobs and save 45 throughout Vermont. Previous USDA Rural Development awards totaling $4.7 million and supporting VEDA's lending programs have resulted in 182 small business loans, creating 827 new jobs and bolstering 1,588 existing jobs throughout Vermont.
The Vermont Community Loan Fund (VCLF) will use their $500,000 loan to expand their small business loan program, helping to save 60 jobs and create two. Cumulatively, VCLF has received $5.2 million from the Intermediary Relending Program, assisting small businesses throughout the state with an aim at providing benefits to low-to-moderate income Vermonters through livable-wage and revitalized communities. They have assisted 173 businesses, bolstering 765 existing jobs and creating 724 new jobs.