Community Development Loan Fund

LARC manages the regional Community Development Loan Fund (CDLF), a component of the Community Development Block Grant (CDBG) Program. The CDLF Program provides flexible financing for new and expanding businesses throughout the region with the exception of the City of Fargo. Applicants are cities or counties on behalf of for-profit business enterprises. Loans may be used for real estate, equipment, inventory and working capital and are typically subordinated to bank financing. Projects must meet a national objective of the CDBG Program and must create or retain jobs. The amount of funding available to a project is based on the threshold of $35,000 per job. The maximum loan amount is $500,000, although most loans average $100,000. CDLF funding is limited to 50% of the total project costs, and borrowers must provide a 10% equity contribution.

The LARC Loan Committee recommends approval of CDLF loan applications to the North Dakota Division of Community Services. Applicants should allow 60-90 days approval.

Please Contact Us or Request Info for a detailed description of eligibility requirements, fees and current interest rates.