Tools of the Trade
Let’s talk numbers. In 2016 the Altoona Blair County Development (ABCD) Corporation facilitated 41 business expansion projects. That represented more than $69 million in capital investment and $37 million in program funding. More than 162 new jobs were created and 484 retained. None of those results would have been possible without a full menu economic development financing tools. These programs are our Core Services, one of the 5 pillars of operation at ABCD.
Over the years ABCD has assembled several revolving low interest loan funds, managed tax credit programs, the Federal SBA 504 program, and deployed mico-grants to support a wide variety of development activities to include building and land acquisition, building renovations, equipment purchasing and façade improvement.
As an economic development organization, the more businesses use our programs, the more business there will be. How? All fees and interest generated through these programs go right back into ABCD to help other businesses grow and market the community for new investment. When businesses and banks partner with us, you are helping to reinvest in your community.
Among our many program options, the most utilized “Core 4” programs include 1) SBA 504, 2) the Pennsylvania Industrial Development Authority (PIDA) program, 3) Enterprise Zone (EZ) revolving Loan Fund and 4) the USDA Intermediary Relending Program (IRP). The SBA 504 program can provide an expanding small business fixed rate financing for 10 or 20 years for land acquisition, site improvements, machinery and equipment purchases. The PIDA program can provide up to $2.25 million of fixed rate financing for a variety of business expansion needs to include working capital. For businesses located in an Enterprise Zone, which includes all the City of Altoona and Logan Township, the EZ can provide flexible loan amounts with rates matching the PIDA program for land or building purchases, equipment and working capital. Finally, the USDA IRP program focuses on more rural areas providing loans up to $150,000 at a maximum fixed rate of 4.5 percent. This is the way to go if you need cash for a small business. Often these programs can complement the other to round out a highly-competitive source of working and investment capital.
Beyond the “Core 4,” ABCD can utilize tax exempt financing, tax credit programs and other revolving loan funds to develop a highly-customized approach. It is about business and the community. When you consider your next business or equipment investment, think of both. For more loan and financing information contact Paul Cooney at firstname.lastname@example.org.