Loan Successfully Repaid to County Economic Development Board


Published on March 2 2021 1:47 pm
Last Updated on March 2 2021 1:47 pm
Written by Greg Sapp

The Effingham County Economic Development Advisory Board Tuesday heard of another successful loan repayment.

Holli's Flour Shop in Teutopolis has paid off its loan from the Advisory Board. The chairman of the Advisory Board, David Campbell, said they've never had a loan go unpaid, and he's not ready to see it happen.

A representative of a firm that has fallen several months behind in repaying it's loan was present at the meeting. Campbell told the business owner that they are willing to work with the individual, and have altered the repayment plan, but said they need to see something indicating good faith on the borrower's part. The individual said that they have a source of funds and is working to get employed to get the funds repaid.

The Advisory Board also heard that a local business wishing to expand is interested in borrowing about $15,000. The loan fund currently has a balance of more than $32,000, so will work with the business owner to finalize an agreement.

The Economic Development Advisory Board was established after the County received a federal grant of almost $100,000. The County loans out the funds, then the borrower repays the funds at interest to keep the fund going. Typically, the projects and the amount of funds loaned are smaller than traditional financial institutions would take on. The goal is for the startup or expanding businesses to generate additional employment opportunities