Attractive financing options.
Tenants of Churchill Technology & Business Park will find JEDCO offers a number of programs designed to assist with financing of fixed assets, working capital and inventory. We utilize the resources of the U.S. Small Business Administration (SBA), the Economic Development Administration, the Department of Housing and Urban Development (HUD) and the Environmental Protection Agency (EPA) to make this assistance available.
The SBA has named a “Preferred Lender,” enabling us to approve your SBA 504 loan directly for faster loan closings.
SBA 504 Loan Program
This loan program provides growing businesses with long-term, fixed-rate financing for major fixed assets, such as land and buildings. Typically, a 504 project includes a loan secured with a senior lien from a private-sector lender covering up to 50 percent of the project cost, a loan secured with a junior lien from JEDCO (backed by a 100 percent SBA-guaranteed debenture) covering up to 40 percent of the cost, and a contribution of at least 10 percent equity from the business. The maximum “504” loan amount is $1.3 million.
Objective: To promote economic development by providing financing to existing businesses in Jefferson Parish.
- For-profit business
- Must be located in Jefferson Parish
- Requirement is creation/retention of one job per $50,000 in SBA 504 assistance
- Land/building acquisition
- New construction
- Purchase equipment
- Professional fees related to project
$50,000 – $2 million
(Loans to manufacturers up to $4 million)
50% from a Bank or other lender (Collateral: First Lien Position)
40 % from SBA 504 Debenture (Collateral: Second Lien Position)
10 % from Equity
- 10 years on equipment
- 20 years on real estate
SBA 504 processing fees average 3 percent of the JEDCO/SBA portion of the project. These fees are financed as part of the project.
JEDCO reviews/approves the 504 application before processing by SBA. SBA review period averages five days from receipt of the completed application.
Industrial Development Bonds (IDBs)
JEDCO, through its State enabling legislation, issues tax-exempt and taxable IDBs to finance land acquisition, building construction and the purchase of new equipment. Private business owners and corporations may borrow tax-exempt money to cover the costs of acquiring, constructing and renovating non-residential real property located in the GO Zone. Jefferson Parish is included in this zone.
Eligible projects may include, but are not limited to: retail stores, warehouses, manufacturing facilities, industrial parks, office buildings, bank branches, hotels and motels, restaurants, physician office buildings, medical hospitals and clinics
Projects must meet certain qualifications.
Checklist for loan applications
- Fiscal year end financial statements for the past three years
- Most recent interim financial statement, dated within 90 days of application
- Financial projections for two years
- Company history
- Banking relationship
- Resumes of principals
- Application deposit/fee
- Personal financial statements and most recent tax return
Submission of the aforementioned information does not guarantee funding by JEDCO.
Additional Funding Resources
Here are additional links and contacts for additional funding resources.
Small Business Administration
Economic Development Administration
Service Corps of Retired Executives
National Association of Development Companies