Financial Solutions
SUCCESSFUL ECONOMIC DEVELOPMENT STRATEGIES
USDA Rural Development Eligibility
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Capital deployed into towns with less than 20,000 in population
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Funds unavailable through other sources
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Demonstration of local / regional need and economic impact
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Institution must be accessible to all students without restriction
Typical Loan Characteristics
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Fixed interest rate of ~4% (currently); up to 40-year term
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Typical asset collateral is required
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Covenants are limited; may vary state-by-state
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No pre-payment penalties
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Guaranteed local bank loan typically required; 10% of project
(bank sets interest rate, and term, but not covenants or
collateral)
