Direct Loans

Introduction | Direct Loans | Linked Deposits | Custom Loan Packaging | Loan Application

Direct/participation loans are investments made by Great River Energy and its member electric cooperatives from our general funds. These loans generally have terms, conditions and interest rates similar to the project’s lead lender. Direct loans are aimed at increasing the availability of capital for business.

Eligibility Requirements

Eligible businesses must receive electrical service from a Great River Energy member cooperative.

Speculative or investment-oriented development projects will not be eligible for program eligibility.

Each member system may, at its discretion, target specific locations and/or types of businesses for program funding.

Business Financing Program loans are limited to 50 percent of debt financed eligible project costs. A minimum of 10 percent owner equity injection is also required.

Use of Funds

Loan funds may be used for new business development or the expansion of an existing business. Eligible project costs may include:

Loans may not be considered for conventional agricultural production or debt refinancing. (Use of funds may vary by member cooperative.)

Loan Terms and Conditions

Loan amounts range up to $1 million, depending upon individual cooperative guidelines. Great River Energy lender participation loans generally will match or be lower than the interest rate offered by the participating lender. The loan terms may vary according to the type of project, use of funds and cash flow needs.