York County 504 Partnership Hits Milestone!
With the recent funding of projects early in 2015, YCEA’s total SBA 504 closed loan balance with EDC Finance Corporation has eclipsed the $5 million mark. In 2014, several key projects received SBA 504 approval including Wyndridge Farms, Star Light Diner and Centurion Construction, as YCEA continues to ramp up promotion of this valuable financing option for small businesses. As a quick summary to the YCEA / EDC Finance partnership, YCEA and EDC Finance Corporation (EDC Finance) are both not-for-profit economic development entities and have partnered together to offer SBA 504 loans to York County businesses. YCEA provides a reliable, local loan origination point of contact for the York County business and their bank partner. YCEA staff processes the application and is the borrower’s point of contact during all stages of the 504 loan approval. EDC Finance, based in Lancaster, PA, is a leading Certified Development Company with the authority to obtain SBA 504 loan approvals from the Small Business Administration. EDC Finance provides the structuring expertise, credit underwriting and maintains the back office functions related to closing and servicing the loans. There are several key components exclusively offered through the partnership:
- YCEA serves as the primary local contact for all York County 504 loans
- EDC Finance maintains a voting York County representative on its loan committee
- York staff attends & provides local decision making input to the EDC Finance loan committee
- 25% of all loan fees and a portion of the interest rate stay in York County to support future economic development efforts
If you are considering an expansion of your business involving real estate or equipment assets, give Kenetha Hansen at YCEA a call at 717.718.7841 to discuss SBA 504 and other economic development financing options.