Macomb, IL – A resource conservation agency's economic program has helped start more than 40 new businesses in western Illinois.
Coordinator Dave King of Prairie Hills Resource Conservation and Development says the agency has borrowed about $1.5 million dollars from USDA economic development money.
He says the money goes into revolving loan programs that businesses can use for gap financing. That's the difference between what it takes to start a new business, and how much banks will loan.
In addition to the 43 new businesses over the nine-year life of the loan programs, King says the firms report hiring more than 250 employees.
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Part of the revolving loan funds come from a 30-year, $750,000 loan the agency received from the USDA. It must be paid back at one percent interest.
King estimates the agency's loans have leveraged almost $12 million in bank loans for helping new businesses get started.
Prairie Hills serves Fulton, McDonough, Hancock, Henderson, Warren and Knox counties.
Prairie Hills also helps develop conservation projects and receives easements for land that's being dedicated to conservation purposes.