First Industries Fund - Tourism

grants, loans and loan guarantees to non-profit organizations and for-profit business enterprises to undertake projects relating to the promotion and development of tourism within Pennsylvania

• destination sites located in Pennsylvania including but not limited to historic, heritage, cultural, sporting, amusement, nature, outdoor recreational or retail venues

• hospitality establishments, retail establishments and outdoor-activity-based businesses in close geographic proximity to a PA  destination site or part of a marketing effort targeting a PA destination site

• development and marketing of travel packages for the purpose of bringing out of state visitors to  PA

• public/private partnerships formed to enhance or optimize the use of state owned resources such as state parks and state game lands

• tourism related activities or events that promote overnight visits to PA

• land and building acquisition and construction

• machinery and equipment purchase and upgrades

• retail and commercial

• starting a business

• working capital

• loans up to $200,000 or 50% of total eligible project costs, whichever is less

• maximum amount for working capital is $100,000 or 50% of total eligible project costs, whichever is less

• planning grant up to $250,000

All loan applications must be approved by a designated Area Loan Organization

• Annual fixed rate of 5%
• Real Estate term:  up to 15 years
• Machinery and equipment term:  up to 10 years
• Working capital term:  up to 3 years
• Loan may be repaid at anytime without financial penalty

Established by the Area Loan Organizations.

• Loans must be secured at the highest lien position available on one or more of the following assets: land, buildings, machinery, equipment, accounts receivable and inventory

• SBF may require personal guarantees or corporate guarantees or other types of collateral as circumstances allow

• SBF must have a collateral lien position on the assets being funded unless specifically waived and have a loan to value ratio of 90% or lower on similar licensed assets

Please contact Larry Morgan for full details and assistance.