STEDO General Information

• STEDO loans range from $10,000 to $150,000

• Interest rates normally are at a fixed rate - - set in the range of prime rate, plus or minus two percent. STEDO recognizes that every business has different financing needs and tries to be flexible enough to accommodate the borrower's needs within federal requirements

• The length of time for repayment depends on use of the proceeds. Usually 5 to 7 years for working capital and up to 20 years for fixed assets

• A non-refundable application fee of $100

• The borrower should create and/or retain a minimum of one job for every 5,000 of STEDO monies borrowed

• STEDO loans are made to supplement private commercial bank loans, not compete with them. STEDO loans are to be thought of as gap financing loans

• Borrowers must pledge sufficient assets to adequately secure the loan. Personal guaranties and key person life insurance are required from all owners having 20% or more ownership in the business. Liens on personal assets of the principals may also be required

Eligible Projects

Ineligible Projects

Loan Application (pdf)

Loan Guarantee Info

STEDO's Purpose

"In accordance with Federal law and US Department of Agriculture policy, this institution is prohibited from discriminating on the basis of race, color, national origin, sex, age, or disability. (Not all prohibited bases apply to all programs).

To file a complaint of discrimination, write USDA, Director, Office of Civil Rights, 1400 Independence Avenue, SW, Washington, DC 20250-9410, or call (800) 795-3237 (voice) or (202) 720-6382 (TDD)."