Sometimes economic development projects need a financing boost to get off the ground. Loan programs managed by Allentown Economic Development Corporation are intended to provide gap financing to small business expansion projects in the Lehigh Valley. AEDC works cooperatively with banks and other development finance agencies to bring projects to life, and will happily combine our resources with other Federal, State and local programs. Learn more about each of the programs below.

Enterprise Zone Loan

The Allentown Enterprise Zone Revolving Loan Fund provides low-interest loans to small businesses located within the Allentown Enterprise Zone. Funds can be used for machinery and equipment, real estate or working capital. Businesses may borrow up to $100,000 for up to 75% of total project costs at interest rates as low as 4% and terms of as long as 10 years. Download the full guidelines for more details.

Pennsylvania Minority Business Development Authority (PMBDA) Loan

Available to Minority members as defined by the PMBDA. Ownership interest must be at 51% minority. Acceptable borrowers are those that fit in one of the following minority categories: African–American, Native American, Puerto Rican, Spanish–speaking American, Aleuts, Asian Pacific Americans, Asian Indians and Eskimos. Applicants may receive between $20,000 and $50,000 for machinery and equipment, improvements to real estate including leasehold improvements, or working capital and lines of credit. Recipients pay 5-7% interest up to 5 years. Funds cover 75% of project costs. Collateral required.