REVOLVING LOAN FUND

Olean Business Development Corporation (OBDC) is pleased to fill another gap in the region’s entrepreneurial ecosystem by offering access to a Revolving Loan Fund (RLF) designed to help startup businesses in the Olean area thrive.

ABOUT

This fund provides crucial financial support to businesses operating for less than three years, with a focus on job creation and long-term sustainability.

Funding Range: $5,000 to $100,000

Flexible Loan Usage

Funds can be used for various business needs including gap financing, capital asset purchases, and operating capital
Broad Eligibility: Both nonprofit and for-profit startups are welcome to apply
Sustainable Funding: The fund is maintained through the repayment of loans and interest
Funding will remain available until all initial funds are consumed, with a goal of this happening by Jan 2025

Loan Eligibility

Individual owners, partnerships, limited liability companies, corporations, tenant operators, or contracts for deed purchasers who have been in business for three years or less
Primary place of business must be within a 10-mile radius of Olean city center
Ineligible: lending institutions, real estate brokers, and media businesses
Nonprofits may apply if their project benefits the Olean economy and has a solid revenue source for repayment

Loan Terms

Up to 5 years, Fixed Rate using Applicable Federal Rate published by the IRS at the time of loan closing
Payments are interest only, due annually, for the first four years of the loan (if a 5 year loan)
Final interest and total principal due at the end of the fifth year (if a 5 year loan)
No penalty for early payment
Business owner must commit to attending bi-monthly OBDC RLF Cohort discussions with other business owners who have received funding support