Business Loans
Loan Funds Available Now for Businesses
Getting back on track or moving to the next level can require additional funding. We provide real estate , equipment, and working capital loans. Useful to improve the cash flow cycle, hiring employees, equipment to expand operations; all as part of your growth plan. You want to be smart about your next steps. We can help.
Structuring a low fixed rate loan with payback terms that work for your company is important. COIC has provided financing for many popular and growing Central Oregon businesses over the years. We view qualifying information more broadly in public lending. Simply, we help businesses get to where they want to go.
To find out more about COIC’s available loan programs, contact Patrick Germick
pgermick@coic.org or call 541-280-9611
Did you know that COIC provides alternative loans for new or existing small businesses? These loans help create or retain job opportunities and / or to assist credit-worthy business owners who are unable to secure financing from other sources.
COIC alternative loans are intended to work in cooperation with conventional bank loans, or in some cases fully fund projects when bank financing is not available or can not be received on reasonable terms.
Our loan department staff is responsible for originating and servicing these loans, compliance with applicable federal program regulations, and managing fund balance sheets.
COIC Loan programs:
- Economic Development Administration (EDA) revolving loan fund, available in Deschutes, Crook, and Jefferson counties;
- USDA Intermediary Relending Program (IRP) revolving loan fund, available in the above counties plus Klamath, Malheur, Hood River, Sherman, Wasco, Lane, Douglas, Coos, Curry, Josephine, and Jackson counties;
- Jefferson County revolving loan fund (origination and servicing only, as the fund is owned by the county);
- Loan Position
- COIC Business Loan Program
- Use of Loan Proceeds
- Initial Inquiry- Start Here
- Loan Checklist
- Rates and Loan Terms
- Loan Package Structure
- Program Basics
Some loans can be funded directly by COIC as the only lender in 1st position or a COIC loan can be offered in conjunction with a bank loan (COIC in 2nd position). Thus, your project can be funded from three sources:
1) COIC loan or 1) Credit Union or Bank Loan
2) Your Cash 2) COIC loan
3) Your Cash
The COIC loan can fill the gap in your financing package, making it possible for your bank to provide a loan that it might not otherwise be able to make. Check the Loan Package Structure tab for your cash down payment.
• Purchase land and construct a new building
• Purchase new or used equipment
• Working capital
• Business purchase may be eligible on a case-by-case basis
• Refinance of existing debt is eligible on a case-by-case basis
• Both start-up and existing businesses are eligible
Or you may email pgermick@coic.org for the questionnaire
- Business History: one to two page summary of the management, goals, industry, marketing
- Resumes of all owners, officers, principal stockholders with ownership equal to or greater than 20%
- Business Plan- for startup businesses or less than two years of operation
- Business Financial Statements – 3 most recent years, signed
- Current Interim Balance Sheet and Income Statement (same ending period) and within 60 days of application
- Personal Financial Statements-individual sole proprietor, partners, shareholders > 20% ownership
- Complete Business & Personal IRS Tax Returns – 3 most recent years, signed
- Cash Flow Projections or Projected Annual Income Statement – 2 years, signed
- C corp and Subchapter S-Articles of Incorporation & Bylaws, LLC- Articles of Organization & Operating Agreement, Partnership Agreement, and/or Assumed Business Name filing, with current members
- Interest rate is fixed for the life of the loan, no prepayment penalty and at a below-market rate.
- Maximum loan size is generally $250,000 for the COIC portion of the project, although some exceptions apply allowing higher amounts. There is no project size limit
- Minimum loan size is currently $5,000 in our micro lending program
- Maximum amortization period is 25 years due in 10 years for real estate. Working capital 5-10 years and equipment 5-10 years or maximum useful life.
- Rates based on risk/collateral/loan position and generally range from 5.75% to 7.5%. Additional incentives available.
- Loan fee is 1.5% of the loan amount. Additional document and recording fees may be applicable based on loan type, amount, and loan structure.
• For start-up businesses, a 20%-30% owner cash injection is typically required
• Typical loan structure: Bank or Credit Union loan, COIC loan, and borrower cash down payment or COIC and your cash down
• The COIC collateral lien will usually be subordinate to the participating bank’s lien position
• COIC may require personal assets for collateral ( 2nd mortgage on a personal residence) and other business assets)
• In some cases, projects can be financed exclusively by COIC with no bank companion loan
• COIC provides fully-amortizing, fixed rate loans with no prepayment penalty and does not offer lines of credit
• All projects are required to create new job opportunities or retain existing jobs
Contact us
Central Oregon Intergovernmental Council (COIC)
1250 NE Bear Creek Rd.
Bend, OR 97701
541-548-8163