The Revolving Loan Fund (RLF/ Gap Financing)

The South Jersey Economic Development District offers small businesses the opportunity to borrow money through the Revolving Loan Fund.

Goals and Objectives

The SJEDD’s loan fund gives businesses the financial incentives they need to create new job opportunities as well as stimulate new capital investments thus generating new tax revenues to improve the economic well-being of communities throughout the region.

Overview

The RLF program is intended to provide gap financing for small business firms to encourage business expansion and retention. The minimum available to borrow is $10,000 and the maximum is $100,000. These low-interest loans provide up to 33 percent of the total eligible costs, with the maximum being $100,000 for fixed-asset financing.

Terms

The interest rate is significantly below rates charged by commercial institutions and the loans generally carry a three to five year repayment schedule depending on the nature of the project being financed.

Eligibility

Projects financed through the RLF must create new jobs and the borrower must be an equal opportunity employer that has been in business for at least two years with less than 60 employees. Eligible communities are Atlantic, Cape May, Cumberland and Salem counties.