Economic Development Administration
Project Range — $30,000 to $150,000
The U.S. Economic Development Administration (EDA) Loan Program provides low-interest, subordinated loans. Although the loans can be used for most business purposes, most programs require a bank decline letter or bank participation. Typically, the program requires that the funds from this program do not make up more than 1/3 of the total project and the rest must come from other sources such as a bank loan or personal cash. Projects must also abide by the Davis-Bacon Act and sign up with St. Louis Agency on Training and Employment (SLATE) for a first-source employee contract.
Funding for the loan program is provided through grants from the EDA, under the Economic Adjustment Assistance Program, the Department of Housing and Urban Development (HUD), and the Community Development Administration (CDA), under the provision of Title I of the Housing and Community Development Act of 1974 (Pub. L, 93-383 42 U.S.C. § 5301 et seq.).
These loans are available to qualifying businesses in St. Louis City. Loans must create at least one job per $35,000 borrowed.