Pittsburg Business Growth Fund – Urban Redevelopment Authority of Pittsburg

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Quick Reference

Areas Served: City of Pittsburg

The Pittsburg Business Growth Fund provides Gap financing for:
• Machinery and equipment
• Leasehold improvements, including facade renovations
• Working Capital Eligible Businesses:
• Manufacturing
• Commercial and Industrial
• Advanced Technology
• Service
• Retail Ineligible:
• Bars, Adult Entertainment, Beer Distributors
• Non-Profit organizations, Banks, Savings and Loan Associations
• Non-independently owned gas stations, used car lots
• Check cashing outlets, furniture and appliance rental shops
• Refinancing Amount of Loan:
• Up to 40% of total project cost – maximum loan $150,000
• Minimum loan amount $10,000 Maturity:
• Up to 5 years for working capital, up to 7 years for equipment and up to 15 years for leasehold improvements; term not to exceed that of the private lender.

Costs to Borrower:
• Interest rate fixed at market rate (may be reduced in “Target” areas)
• Minimum cash equity requirement: 10% of total project cost
• Application fee: $250 (non-refundable)
• Due diligence fee: 2% of URA loan amount
• Loan servicing fee paid at closing and annually thereafter of one-half of one percent (0.5%) of the outstanding loan balance
• Construction inspection fee of one-half of one percent (0.5%) may be required for leasehold improvements
• Filing fees due at closing General Conditions:
• One job created and/or retained for every $30,000 borrowed
• 51% of jobs created must be filled by low/moderate income persons
• Borrower is encouraged to use the PA CareerLinks
• May be combined with other public financing programs
• Business must be located in the City of Pittsburgh
• Must demonstrate sufficient cash flow in order to repay the loan
• Loan must be secured by adequate collateral and personal guarantees
• Federal prevailing wage laws may apply to leasehold improvements
• A project with a total cost greater than $250,000 must develop and comply with a Minority- and Woman-owned Business Enterprise Plan
• The project must meet applicable environmental/historic guidelines

Contact Information
Urban Redevelopment Authority of Pittsburg
Address: 200 Ross Street
City: Pittsburg
State: Pennsylvania

Website: http://www.ura.org/pdfs/bdcPBGFSummary.pdf

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