There are numerous ways to get financial assistance for improving or expanding your business, including: Loans, Grants, Subsidies, and True Leases.
Loans : These are typically used when you can’t wait for a granting agency to review the project and decide whether to fund it.
- USDA Businesses Industry Loan: 15 years, 6% interest, 15% down
- USDA Rural Economic Development Loan: 10 years, 0% interest, 20% down
Grants: Grants are the preferred way to go if you are paying a significant amount in federal taxes, typically around $20,000 per year.
True Leases: True leases are the best way to go if you have a sound business but are not paying enough taxes to claim energy tax credits.
- A True Lease: Another firm owns the equipment and you use it
- You get 16% of the project and 0% interest for 7 years.
- Power Purchase agreement: Purchase energy at a reduced rate for 6 months
Positives: Simple and Quick
Negatives:Little cash-flow and You are utilizing a tool that you’re not investing in.
What choice is best for you ?
If you are still unsure, please contact us. We are always happy to discuss opportunities that are suitable for your needs.