Direct Loan Program


  • Individuals, partnerships, corporations or limited liability companies engaged in manufacturing, processing, warehousing, research and development, recycling, travel & tourism, information technology and other businesses as defined in statute.

Use of Proceeds

  • Purchase of land and buildings, including new construction or renovation;
  • Purchase and installation of machinery and equipment, furniture and fixtures; and
  • VEDA cannot finance or refinance existing company assets or debt.

Loan Rates and Terms

  • Attractive variable rates, adjustable on a quarterly basis;
  • Term for real estate loans is 10 years, generally amortized on a 15-year basis;
  • Term for machinery and equipment loans is generally 5-7 years; and
  • In certain circumstances, a fixed interest rate may be available for large loans. Talk to your VEDA loan officer.

Borrowing Limitations

  • VEDA may not fund more than 40% of the cost of the project. Typcially, a bank will lend 50% of the project and the remaining 10% will be provided by the borrower; and
  • The maximum amount of any direct loan can be up to $1.5 million.


  • 1% commitment fee;
  • $1,000 minimum to $3,500 maximum;
  • $50 credit report fee;
  • $18 flood insurance certification (if required);
  • Document recording/discharge fees; and
  • No application fee.

Application Process

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