Business Incentives

Economic Development Finance Authority (EDFA)

South Dakota's Economic Development Finance Authority (EDFA) offers a pooled loan program. The program, designed for capital-intensive projects, provides small businesses access to larger capital markets for tax-exempt or taxable bond issuances. Projects can be funded individually or pooled to help lower the cost of the bond issuance. One of the biggest advantages of this program is a long-term loan with a fixed interest rate

Economic Development Finance Authority (EDFA):

  • Designed for more capital-intensive projects; $1 million minimum
  • Lower interest rate to the borrower as a result of "A+" rating by Standard and Poors
  • Long-term, fixed-rate financing
  • Provides small businesses access to the public bond market
  • Bonds may be tax-exempt on projects that are less than $20 million in total project costs
  • Eligible for the projects that operate an ag processing or manufacturing enterprise
  • Permanent financing for land, buildings, machinery, equipment, and associated installation costs

Program requires interim/construction financing

Contacts

Cassidy Kulesa

Assistant Finance Director

South Dakota Governor's Office of Economic Development

Phone: (605) 773-GOED

Cassidy.Kulesa@sdreadytowork.com

http://www.sdreadytowork.com/Build-Your-Business/Financing-Incentives-(1)/Bond-Financing.aspx

Category: Business Incentives

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