INCENTIVES
REDI Fund
We give new meaning to the phrase "ready, willing and able." Our
REDI (Revolving Economic Development and Initiative) Fund is designed
to help promote job growth in South Dakota. This low interest loan
fund is available to start-up firms and businesses that are expanding
or relocating. This fund provides permanent financing for the purchase
of land and associated site improvements, construction, acquisition,
renovations of buildings and equipment. It also can be used to
help cover fees, services and other costs associated with construction.
The REDI Fund works by providing up to $5,000 per job created,
with the total loan amount being no greater than 45 percent of
the total project costs. Companies should secure matching funds
and be able to provide 10 percent minimum equity contribution before
applying to the Board of Economic Development for a REDI Fund loan.
Interest rates have remained at 3 percent since the program's inception,
and loans are amortized up to 20 years on a building and 10 years
on equipment, with a balloon payment due after five years.
For additional information, contact:
Finance Division
Governor's
Office of Economic Development
711 East Wells Avenue
Pierre, SD 57501-3369
Phone: 605-773-5032
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