New Castle County in collaboration New Castle County Council, Discover Bank and The Grow America Fund (an affiliate of the National Development Council) have partnered to launch the GROW NCC Fund. Together, we are working to help companies grow their businesses in New Castle County. With longer loan terms and below market interest rates, the GROW NCC Fund can help your business stretch cash flow and save thousands of dollars with lower monthly payments.
Who is eligible?
Qualified, existing businesses in operation for at least 2 full years with 10 to 500 full-time employees (subject to the SBA size standards by industry). Real estate investment or development projects and financing entities are not eligible.
How much can be borrowed?
Loans can range from $250,000 to $1,000,000. However, the amount a business can borrow is subject to underwriting guidelines and availability of funds.
How can the loan be used and what are the repayment terms?
- Machinery & Equipment – to be paid over 10 years
- Real Estate Acquisition and/or Renovation – to be paid over 25 years
- Tenant improvements – to be repaid over the life of the lease
Is there an application fee?
There is no application fee.
Are there closing costs?
- Once the loan is approved, the applicant pays a 1% deposit at commitment letter signing for appraisal, legal, and other costs incurred prior to closing
- SBA guarantee of 2-3%
- All closing costs may be financed through the loan
What is the interest rate?
The effective rate interest will be determined based on the current market effective rate at the time the complete application is received. Loan rates will vary but are typically below market rate.
What guarantees and collateral are required?
- Personal guarantees are required from any individual with > 20% ownership of the business
- Security interest in all available collateral
- For real estate: flexible loan-to-value, depending on underwriting
What reporting is required?
Grow America Fund meets with every business annually. Financial statements and/or tax returns shall be provided at least annually.
How do I apply?
To learn more about this program, please contact:
GROW NCC Fund
New Castle County
Office of Economic Development
302-395-5969
This Loan Program is sponsored by: