Frequently Asked  Questions

Who would I contact at Region IV to find out more about these programs? You can call Joe Herring at 1-800-769-5666 (208-732-5727) or e-mail him at joe@rivda.org or write him c/o Region IV Development,
P.O. Box 5079, Twin Falls, Idaho 83303-5079

Are there any forms that I need to fill out to apply for a loan?
Go to our Application section and fill out the form noting closely the items that are  mentioned at the bottom of page #4. [Joe must help us on this to make this more clear for the web site]

Do you deal with any grant or "free" money for women or minority businesses? 
Unfortunately, many equal rights groups have effectively eliminated most of the old grant programs due to unfair business competition. Both of the programs mentioned give preference to minority, woman-owned, or veteran-owned businesses, however.

If I am not certain what to do in getting my business started, where could I turn? 
 Many small business men and women have limited skills in developing their business either for expansion or as a start-up.  The SBA has developed Small Business Development Centers (SBDC) to assist in providing business plans, cash flow projections, and mentoring programs.   You can go to www.csi.edu and then go to their "Community Services" section for their SBDC site.

Can I use "sweat equity" as a portion of my injection requirement?
No.  Neither program allows labor used in conjunction with the construction of a project to be used as part of your "injection" requirement.  The injection must be made with cash or existing land equity in the project site.

Can I use equity in currently owned equipment and/or machinery for injection?
The SBA 504 program does not allow this, although if you sell your current equipment and replace it with newly purchased equipment as part of the project that equity can be used.  The RLF program is more flexible about this, but would require a 1st Lien position on that equipment or machinery.

Can I participate in either of these programs if the location of my project is outside your region?
The SBA 504 program does allow projects outside of our region with the consent of the Certified Development Company in whose region it is located.  If the owner lives in our region, banks in our region, and the accounting is done in our region it is normally allowed. The RLF must be within our region.

What is the process to get a loan through either of these programs?
Once all the information is received, the loan officer packages the loan request and receives a commitment letter from the participating bank.  The package is then sent out the Region IV Loan Committee one week prior to their meeting.  The borrower then goes before the Committee the day of  the meeting and the loan is either approved or rejected immediately following the meeting.  If the project is approved the SBA 504 packet is signed and sent to Boise for Authorization or the RLF request is then written up as a RIVDA Authorization and signed by the Borrower(s). Upon receipt of the signed Authorizations the RLF is then funded to the borrower within five days or the SBA 504 is processed by the participating lender for the interim loan amount.

How long does the process take?
Once the office has ALL of the items on page #4, it takes 2 weeks for a Board meeting and then another week to two weeks for fund availability.