Business owners may be eligible for a loan through the ECI REC revolving loan fund. Eligible projects for loans can include any community or economic development project that benefits the rural area, such as new or expanding private business, non-profits groups, and city or county governments.
Loan recipients are not required to take electricity service from East-Central Iowa Rural Electric Cooperative.
Loan recipients may be:
Eligible Uses of funds
Ineligible Uses of Funds
The Loan Review Committee and the Cooperative Board consider the financial need of the project, the probability of success, the benefits of the project to the rural area, including number of jobs to be created or retained, diversification of the economy, quality job creation in terms of pay scale and benefit package, and community development projects and improvements to the community infrastructure.
Please contact ECI REC's CEO, Steve Marlow by calling 877-850-4343 for more information on loan requirements and terms.
Loan Amounts - The eligible loan amount will be a minimum of $5,000.00 and a maximum of $300,000.00.
Guidelines - Low-interest loans are available from East-Central Iowa Rural Electric Cooperative to assist with community and economic development projects in rural areas.
Term of Loan - Not to exceed 10 years
Interest Rates - Interest rates will vary from project to project with the interest rate not to exceed the prime rate as published in the Wall Street Journal.
Loan Security - The revolving loan fund requires adequate collateral for the loan request which can include requiring mortgages, liens, and or personal guarantees. Other terms or conditions may be required as determined by the Cooperative Board of Directors.
Other Funding - The revolving loan fund project must include a minimum of 20% funding from other sources. Greater leveraging of outside sources will enhance the approvability of a RLF Loan request.
Administrative Fee - Generally a loan service fee will be charged, not to exceed one percent per year on the unpaid balance of each Revolving Loan Fund loan, plus attorney fees incurred by East-Central Iowa Rural Electric Cooperative, in connection with the loan.