Vermont Economic Development Authority Rates

Interest rates and market conditions fluctuate. Please contact a VEDA representative to assure you have the most current rate information. 

VEDA Commercial & Energy Loan Programs
Program Rates Fees

Direct Loan Program

Small Business Loan Program (VSBDC)

Local Development Corporation Program

Commercial & Agricultural Energy Loan Programs

  • Variable interest rates based on VEDA’s cost of funds, typically comparable to bank interest rates.
  • Fixed interest rates (fixed for 5 years) on loans up to $500,000. Interest rates may be re-fixed for an additional 5 year period at then prevailing interest rates or converted to VEDA’s variable interest rates.
  • Interest rates include a VEDA subsidy for the first 5 years based on the Project’s economic development potential.
  • Interest rates are adjusted weekly based on the markets. Please call for current VEDA variable and fixed commercial interest rates.
  • 1% Commitment fee ($5,000 maximum)*
  • $30 Credit Report fee
  • If applicable:  Appraisal fee (or Commercial Engineering Report on Solar loans), Document Recording fee, Flood Certificate fee and other out-of-pocket fees.
*Projects involving NMTC have no maximum

Tax-Exempt 501(c)(3) & Small Issue Manufacturing Revenue Bond Programs

  • Interest rates on tax exempt bonds issued by VEDA may be variable or fixed and are negotiated between borrower and bond purchaser(s).

Issuance fee:  

  • 501 (c) (3) Non-Profit bonds: 0.5% of bond up to $25 million
  • Small Issue Manufacturing Bonds: 0.625% of bond for new issue up to $25 million
  • New bonds over $25 million or for refunding of bonds originally issued by VEDA: 0.25% of bond issuance

Up to 2% of bond proceeds may be used for certain project fees.

Entrepreneurial Loan Program

  • SBA Community Advantage Guaranty of 75% to 85% of loan amount for eligible ELP loans needing additional collateral on loans up to $250,000.
  • Unguaranteed: variable WSJ Prime+ 2.50%
  • SBA guaranteed: variable WSJ Prime or VEDA 5-year Fixed Rate
  • 1% Commitment fee
  • $30 Credit Report fee

SBA 504 Program

 

  • Rates are set monthly by the SBA for 10, 20 and 25 year terms based U.S Treasury bond rates plus spread.
  • Rates are fixed for the life of the loan at closing.

Rates for July 2020:

  • 10 Year (Note Rate) 0.84%
  • 10 Year (Effective Rate) 2.40%
  • 20 Year (Note Rate) 1.05%
  • 20 Year (Effective Rate) 2.35%
  • 25 Year (Note Rate) 1.17%
  • 25 Year (Effective Rate) 2.41%
  • Effective rates include fees which are financed into the loan.

* Note – Rates are fixed for the life of the loan at closing and are set monthly. Fees and upfront costs are typically financed.

VEDA Agricultural Loan Programs
Program Rates Fees

Vermont Agricultural Credit Corporation (VACC)

Variable interest rates subsidized for 2 years or fixed interest rates subsidized for 5, 7 or 10 years

  • FSA guaranteed interest rates based on WSJ Prime or VEDA Fixed Rate
  • Unguaranteed interest rates based on VACC Prime or VEDA Fixed Rate
  • Initial interest rates are adjusted weekly based on the markets. Please call for current VEDA Agricultural variable and fixed interest rates.
  • Commitment fee of 0.5% ($3,500 maximum) 
  • FSA Guaranty fee (if applicable)