BLDC Loan Fund Program

Access to capital/credit is one of the most important issues of interest to businesses.

The BLDC serves as the leading point of contact for individuals and companies wishing to save, expand, start or locate a business in Butte-Silver Bow area.  The BLDC will work with the public and private sector to provide or coordinate business start-up, retention, expansion and recruitment services including technical assistance, planning assistance, or financial assistance as required.

The Butte Local Development Corporation owns and operates its own Revolving Loan Fund which is an excellent financing option available for Butte businesses.  The purpose of the BLDC’s loan program is to encourage and accelerate quality job creation, retention and recruitment of businesses to Butte Silver Bow.  Our financing is used primarily as GAP financing in participation with your financial institution.

Eligible Uses

  • Business acquisitions, construction, conversion, enlargement, repair, modernization, or development costs
  • Purchasing and development of land, easements, rights-of-way, building, facilities, leases, or materials
  • Purchasing of equipment, leasehold improvements, machinery or supplies
  • Transportation services
  • Start-up costs and working capital
  • BLDC will only provide financing that is otherwise not available
  • May be used as an incentive to recruit new business to the area

BLDC Loan Fund Policies

  • Loans will only be made to businesses located in Butte Silver Bow
  • Loan amounts will not exceed $250,000
  • 2% loan fee is assessed once the loan closes
  • Borrowers are responsible for appraisals, title insurance, environmental engineering, preparation of financial statements, and other professional services as needed
  • 20% equity preferred, but in no case lower than 10%
  • Rates and Terms
    • 6% Interest
    • Working Capital – 7 years
    • Equipment – 10 years maximum (based on the life of the equipment)
    • Real Estate – 10 to 20 years
  • Bank participation is preferred
  • Financing may be subordinated to participating lender
  • Sufficient cash flow and positive net income must be demonstrated by Borrower
  • Borrowers may be required to obtain business counseling services by our Small Business Development Center partner at Headwaters RC&D.

For forms regarding application for a loan, a typical business loan checklist and other information, please click the links below to view/download the PDF:

For assistance in starting up your business, business plan development, market assistance, financial technical assistance and low-cost training, please visit our Small Business Development Center partner at Headwaters RC&D.

We have provided the following links and contact information to local Butte Banks, all of which partner with the Butte Local Development Corporation in creating, growing and retaining jobs.

Bank of Butte
3525 Harrison Avenue
(406) 494-4395
www.bankofbridger.com

First Citizens Bank
3220 Harrison Avenue
(406) 494-4400
www.fcbob.com

First Montana Bank
1940 Dewey Blvd.
(406) 494-6111
www.firstmontanabank.com

Glacier Bank
1880 Harrison Avenue
(406) 494-7000
www.glacierbank.com

Granite Mountain Bank
605 Dewey Blvd.
(406) 533-0600
www.granitemountainbank.com

Opportunity Bank
3401 Harrison Avenue
(406) 494-2233
www.opportunitybank.com

US Bank
10 S. Main
(406) 496-4000
www.usbank.com/

Wells Fargo Bank
3650 Harrison Avenue
(406) 533-7000
www.wellsfargo.com

The Butte Local Development Corporation works closely with our State partner at the Montana Board of Investments to assist businesses access capital. The Montana Board of Investments In-state Loan Program offers Montana businesses attractive financing programs. Click here for information on these programs, and be sure to contact the BLDC to assist you in applying.

For frequently asked questions and links to information regarding access to capital and loan programs. Click here for more information on how to access services to help your small business grow.

Small Business Administration (SBA) Loan Guarantee Program

Banks and other lending institutions offer a number of SBA guaranteed loan programs to assist small businesses.  While SBA itself does not make loans, it does guarantee loans made to small businesses by private and other institutions.  For more information, please visit the SBA website.

Export-Import Bank of the United States

The Export-Import Bank of the United States is the official export credit agency of the United States. Ex-Im Bank’s mission is to assist in financing the export of U.S. goods and services to international markets.  Ex-Im Bank enables U.S. companies — large and small — to turn export opportunities into real sales that help to maintain and create U.S. jobs and contribute to a stronger national economy.  For more information, please visit the EXIM website.

Venture Capital

The Butte Local Development Corporation has access to venture capital and angel networks for early stage investments.  These firms/individuals are willing to provide an entrepreneur with seed capital in hopes of gaining a return when the business takes off.  The BLDC has a substantial network of experienced entrepreneurs and capital ready to assist new ventures.   For more information on this type of capital, please call us at 406-723-4349.

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