The Effingham County Economic Development and Grants Committee approved several changes to their revolving loan agreement at Tuesday’s meeting. The program is funded by a USDA rural development and allows the County to loan money to business startups or businesses looking to expand. There is currently $41,500 available for borrowing. Changes to the loan agreement include a required list of property purchased with the funds along with lien on said property, a $50 penalty in each payment that is 15 days late, a .5% interest rate hike every 90 days a payment is late, and that the borrower must inform the Committee of any changes in address or phone number within 10 days changing or face a 1% interest rate increase. Changes will not be implemented until after being reviewed by the State’s Attorney and no current borrowers will be subject to the new conditions.
The Committee also discusses the state of several loan borrowers and other potential avenues to find individuals interested in the program.