| Program |
Uses |
Eligibility |
Amounts |
Terms & Conditions |
Pennsylvania Industrial Development Authority (PIDA)
Job Creation Program
|
· Land and building acquisition
· Building construction and renovation
· Industrial park development
· Multi-Tenant spec building construction, acquisition and renovation
|
· Manufacturing
· Industrial
· Research and development
· Agricultural processors
· Firms establishing national or regional headquarters
|
· Loans up to $1 million ($1.75 million in an Enterprise Zone
· No more than 40% of total eligible project costs depending on firm size and unemployment rate
|
· 3.00% interest rate in Enterprise Zone
· Up to 15 yrs. (10 yrs. on industrial parks)
· $25,000 cost per job created or retained
|
Pennsylvania Industrial Development Authority (PIDA)
Job Retention Program
|
· Land and building acquisition
· Building construction and renovation
· Industrial park development
· Multi-Tenant spec building construction, acquisition and renovation
|
· Machinery and equipment acquisition and upgrading and related engineering and installation costs
|
· Loans up to $1.25 million ($1.75 million in an Enterprise Zone
· No more than 40% of total eligible project costs depending on firm size and unemployment rate
|
· Same as above
|
|
Pennsylvania Industrial Development Authority -
Advanced Technology Projects
|
· The project must enhance the innovation capability or advanced technology activities
|
· Manufacturing and non-manufacturing companies designated as advanced technology companies
|
· Same as above
|
· Same as above
|
|
Machinery and Equipment Loan Fund (MELF)
|
· Machinery and equipment acquisition
· Upgrading and related engineering and installation costs
|
· Manufacturing
· Industrial
· Agricultural enterprises
· Mining enterprises
|
· Loans up to $500,000 or 50% of the total eligible project costs, whichever is less
|
· Up to 7 year term, depending upon the useful life of the machinery
· May subordinate lien position
· Private-sector match req.
· 10% equity required
· $25,000 cost per job retained or created
|
|
Small Business First
|
· Land, building acquisition and construction
· Machinery, equipment purchases and upgrades
· Environmental compliance with environmental regulations
· Compliance with municipal or commercial recycling
· Financing for defense conversion
|
· Small businesses (100 employees or less) which are:
- Agricultural enterprise
- Industrial
- Manufacturing
- Export service enterprises
- Mining enterprises
- Certain hotels, motels or restaurants
|
· Maximum loan amount is $200,000 or 50% of total project cost
· Maximum loan amount for working capital is $100,000
|
· 5% Interest rate
· $25,000 cost per job retained or created
|
|
Pennsylvania Minority Business Development Authority (PMBDA)
|
· · Land and building acquisition
· Building, construction and renovation
· Machinery and equipment acquisition and installation
· Working capital
|
· Minority-owned businesses
|
Manufacturing, industrial, high-tech, international trade or franchise companies:
· Loans up to $500,000 (within Enterprise Zone, $750,000) or 75% of total eligible project costs, whichever is less
Retail or commercial firms:
· Loans up to $250,000 (within Enterprise Zone, $350,000)
|
· 50% of prime rate, but no less than 4%
· Terms:
- Up to 20 years for land and buildings
- Up to 7 years for machinery and equipment
- Up to 3 years for working capital
· 25% private sector match required
· $15,000 cost per job created
|
|
Pennsylvania Capital Access Program (PennCAP)
|
· Land
· Building
· Equipment
· Working capital
|
· All businesses with capital needs
|
· Loans up to $500,000
|
· Rates and terms negotiated with participating banks
· PEDFA bond program provides guarantee for bank loan
· Term loan or line of credit
|
Pennsylvania Economic Development Financing Authority (PEDFA)
Tax-Exempt Pooled Bond Program
|
· Land and building acquisition
· Building renovation and new construction
· Machinery and equipment acquisition and installation
· Designated infrastructure
· Tax-exempt bond refunding
|
· Manufacturing
· Non-profit
· Energy
· Solid waste disposal
· Transportation
|
· Loans no less than $400,000 & no more than $10 million for manufacturers
· No upper limit for other projects
· Up to 100% of project
|
· 85% of prime interest rate
· Weekly variable interest rate tied to market for tax-exempt bonds
· Up to 30 year term
· Borrower generally must secure letter of credit from bank
|
Pennsylvania Economic Development Financing Authority (PEDFA)
Taxable Bond Program
|
· Land & building acquisition
· Building renovation & new construction
· Machinery, equipment acquisition & installation
· Designated infrastructure
· Refinancing
· Working capital
|
· All types of businesses needing access to low-cost capital
|
· Maximum loan amount of $400,000
· Up to 100% of project costs
|
· 95-100% of prime int. rate
· Weekly variable interest rate tied to market for taxable bonds
· Term is based upon negotiated letter of credit
· Borrower must secure letter of credit from bank
|
|
Industrial Sites Reuse Program (ISRP)
|
· Phase I, II and III environmental assessments
· Remediation of hazardous substances
|
· Public and private nonprofit economic development entities and companies involved in reuse of former industrial land
|
· Grants and loans up to $200,000 for environmental assessments
· $1 million for remediation
|
· Interest rates of 2%
· Up to 5 yrs for assessments and 15 yrs for remediation
· 25% match is required for grant and loan projects
|
|
Revenue Bond and Mortgage Program
|
· Construction of new facilities
· Expansion or purchase of existing building
· Machinery and equipment in conjunction with renovations only
|
· Industrial projects as well as certain specialized projects including:
- solid waste disposal facilities
- hazardous waste disposal facilities
- sewage treatment facilities
- 501(c)(3) organizations
|
· The maximum non-taxable amount is $10 million (The Industrial Development Authority borrows money from private lenders and then lends to industries)
|
· Terms of the loan are negotiated
· Interest rates are typically 80-90% of the prime rate
· Other fees may apply
|
|
Customized Job Training (CJT)
|
· Instructional costs
· Supplies
· Consumable materials
· Contracted services
· Relevant travel costs for instructors
|
· Manufacturing
· Industrial
· Agricultural enterprises
· Research & development
· Advanced technology
· Business service firms (no point of sale/retail)
|
· Grants up to 100% of the eligible costs for new job creation
· Up to 70% for job retention
· Upgrade training
|
· Must be for actual training
|
|
· Opportunity Grant Program
|
· Job training
· Infrastructure
· Land & building improvements
· Machinery and equipment
· Working capital
· Environmental assessment and remediation
|
· Firms, or companies on behalf of firms, that will create or preserve jobs within the Commonwealth
· Manufacturing
· Industrial
· Research & development
· Agricultural processors
· Traded services
· Firms establishing a national or regional headquarters
|
· No minimum or maximum
|
· Significant projects must offer substantial economic impact either for the Commonwealth as a whole or for the locality or region in which the company will locate
· 4:1 private to public match required
|
|
Enterprise Zone Small Business Capital Fund
|
· Facility acquisition
· Construction
· Renovation
· Machinery & equipment
|
· Businesses located or locating in an Enterprise Zone
|
· Loans to $75,000
|
· 30 Month term rates vary
|
|
Job Creation Tax Credit
|
· Must create at least 25 new jobs or new jobs equaling at least 20% of the existing workforce
|
· Approved businesses that agree to create new jobs in PA within three years
|
· $1,000 per job tax credit to approved businesses that agree to create jobs within three years
· 25% of the tax credits allocated each year must go to businesses with less than 26 employees
|
· The tax credits may not be utilized by a business until the jobs are actually created
|
|
Infrastructure Development Program (IDP)
|
· Transportation facilities
· Clearing and preparation of land and environmental redemption
· Water and sewer systems
· Energy facilities
· Bridges
· Rail facilities
· Port facilities
· At former industrial sites only; land & bldg. acquisition, construction and renovation by private developers
|
· Manufacturing
· Industrial
· Research and development
· Agricultural processors
· Traded services
· Firms establishing a national or regional headquarters
· Private real estate developers who are developing business sites
|
· Loans and grants up to $1.25 million
· No more than 20% of the annual appropriation for a single municipality
|
· Loans to private businesses at 3% interest rate
· Up to 15 year term
· Public infrastructure grants
· 2:1 private to public match required
· $25,000 cost per job to be created within five years
|
|
Enterprise Zone Tax Credits
|
· Provides tax credits to businesses making real property improvments with EZ's
|
· Businesses
|
· Up to $250,000 of tax credits per project, per company, per year
|
· Tax credit to be used to offset PA corporate tax liability
|
|
Rail Freight Assistance
|
· Rail Freight: Maintenance Construction
|
· Railroads
· Rail freight users
|
· Grants:
- Maintenance-75% of project cost, up to $250,000
- Construction-50% of project cost, up to $100,000
|
· Local match:
- 25% for maintenance
- 50% for construction
· Deadline for applications is April 15 each year
|
|
Ben Franklin Partnership: Seed Venture Capital
|
· Research and development
· Technology transfer
· Joint research and development between private companies and universities
· Entrepreneurial assistance
· Training
|
· Advanced technology
· Research and development
· Start-up companies
|
· Typically range from $5,000 to $100,000
|
· Grant, often with royalty payback provisions
|
|
Ben Franklin Partnership: Environmental Technology Fund
|
· Research and development
· Technology transfer
|
· Companies developing recycling processes or markets for recycled material
|
· Up to $100,000
|
· Grant
|
|
Small Business Administration 504 Loan Program
|
· Plant acquisition
· Construction
· Renovation
· Expansion
· Acquisition of land
· Land & site improvements
· Acquisition & installation of machinery & equipment
|
· Less than 500 employees
· Net worth must not exceed $6 million
· Average net income after taxes for the preceding 2 years must not exceed $2 million
|
· Minimum amount $200,000
· 40% of the project cost or $750,000, whichever is less, or up to 1,000,000 in Enterprise Zone
· 50% of project cost financed by financial institution
|
· 1 full time, permanent job must be created or retained within 2 years for every $35,000
· Fixed interest rate
- 20 yr. term for real estate
- 10 yr. for equipment
· $1,000 processing fee
|
|
Recycling Incentive Development Account (RIDA)
|
· Acquire and install new or used machinery and equipment
· Upgrade existing machinery and equipment
|
· For-profit manufacturers using recycled materials in the manufacturing process
· For-profit enterprises engaged in the conversion or processing of residential waste
|
· $300,000 or 50% of total project cost, whichever is less
|
· Private sector match required on a 1:1 basis (10% must be company equity)
· 3% interest rate
· Term is 7 years or the life of the asset, whichever is less
· 1 job must be created or preserved within 3 yrs. for each $25,000
· 1% commitment fee
|
Bucks County Economic Development Corporation
Revolving Loan Fund (RLF)
|
· Expansion projects
|
· Manufacturing companies
· Must comply with Davis Bacon Act when new construction or renovations exceed $2,000
|
· Typically no more than 150,000
|
· Terms and conditions are on a case by case basis
· Rates are generally 1% below prime
· 15 year term/5 year balloon
· Hiring and contractor selection req. must be met
· Fees include a non-ref. $750 application fee as well as a 1% placement fee and legal fees
|
· Bucks County Economic Development Corporation
Business Builder Loan Fund (BBLF)
|
· Acquisition of land and building
· Expansion
· Machinery
· Other eligible activities
|
· Small and emerging businesses
· Creation and preservation of employment
|
· Typically $200,000 or less
|
· Terms, conditions and interest rates are tailored to the company
· Generally 1/2% below prime with an amortization tied to the life of the asset:
- 10 yrs/7 yr balloon for land and building
- 7 yrs/5 yr balloon for machinery and equipment
- 5 yrs/3 yr balloon for working capital
· Hiring and contractor selection req. must be met
· Fees include a non-ref. $750 applic. fees and 1% placement and legal fees
|
|
Pennsylvania Industrial Conversion Fund (PICF)
|
· Working capital
· Training
· Export assistance
· Machinery & equipment
|
· Creation and/or retention of at least 1 job for each $15,000 loaned
|
· Typically $200,000 or less
|
· 4% or 4% below the existing prime, whichever is higher (up to 10%)
· Term tied to the useful life of assets being financed (typically 7 years or less)
· 1% administration fee (min of $750) plus legal fees
· $250 annual fee
|
|
Bucks County Microloan Fund
|
· Working capital
· Inventory
· Machinery and equipment
· Furniture and fixtures
· Leasehold improvements
· Real estate
|
· Existing or start-up business located in Bucks County
· Size restrictions based on industry:
- Retail and service firms must have sales less than $1 million
· Manufacturing firms must have sales less than $2 mil.
|
· Loans range from $5,000 to $30,000
|
· Rate fixed at prime plus 2%
· Maximum term is 5 years
|
