MOOSIC, PA — The Northeastern Economic Development Company of PA-CDC, Inc. (NEDCO), a newly-formed regional non-profit organization dedicated to contributing to the economic development of Pennsylvania communities, has announced a $1.2 million Small Business Association (SBA) loan program guarantee for the Ertley Kia Automobile Dealership of Moosic, PA. The loan will enable the Ertley dealership to implement a new and expanded floor plan for its growing Kia auto inventory.
“NEDCO is proud to be among the first non-profit Community Development Corporations in the country to be able to offer this unique new federal loan program to small business owners,” said William F. Rinaldi, President and CEO of NEDCO. “This is an affordable economic helping hand for Pennsylvania’s small businesses at a time when they most need it. We’re delighted that the Ertley Dealership, a respected staple of the Moosic business community, applied and qualified for this unique new loan product. NEDCO is pleased to have been able to invest in this hometown company’s future growth and prosperity.”
The loans are funded through the sales of debentures, which are sold publicly to investors. The debentures are 100% guaranteed by the SBA. The loans are designed for the acquisition of long-term fixed assets, such as land, buildings, machinery, and equipment, and/or the construction, modernizing, renovating, and restoring of facilities. Loan proceeds may also be used for land and site improvements, interest on interim financing, and professional fees directly attributable and essential to the project. Refinancing is not a permissible use of the loans.
For a business to be eligible for NEDCO’s SBA-backed loan program, it must be a for-profit corporation, Limited Liability Corporation, partnership, or proprietorship with a net worth (including affiliates) of $6 million or less. Average net profits after taxes cannot exceed $2 million per year for the previous two years.
For more information on this important new resource for Pennsylvania’s small businesses, call NEDCO’s corporate offices in Moosic, PA at 570-457-6726, or visit the web site at www.nedcocdc.com.