Fulton Economic Development got a $75,000 shot in the lending arm Tuesday.
U.S. Rep. Joe Donnelly, D-2nd District, was in town to present the local economic development agency with a U.S. Department of Agriculture Rural Business Development Enterprise Grant.
The money will be loaned to small businesses.
"This money is best at the local level," Donnelly said, noting FEDCO knows the community and its needs.
"At a time of tight credit, where credit has been a challenge for a few years ... this gives them the opportunity to help businesses," he said.
FEDCO Executive Director Terry Lee said there are people "with exciting opportunities for job creation and retention" waiting to apply for the revolving loans.
FEDCO has received a $50,0000 grant in October 2009.
"We loaned 90 to 95 percent of those funds. And I think everyone is on schedule with repayment," Lee said.
The first round was loaned to three businesses in increments of $25,000, $12,000 and $8,000. Loans are approved by a local committee, which meets monthly to review applications.
Applications are evaluated in the order they are received.
The borrowed money may be used for a variety of needs, including new business ventures, inventory, working capital, signage, sidewalks, computers or software.
Loans are revolving. As they are repaid with interest, the fund is to grow and be turned around into new loans.
Business loans can be made at a reduced interest rate to startups and existing businesses that employ fewer than 50 people and have less than $1 million in annual gross sales.
