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WEDC Creates Emergency Loan Guarantee Program Due to Propane Shortage
Tuesday, February 4th, 2014 -- 1:24 pm
Posted by Riley Hebert-News Director


-In light of a shortage of propane across the Midwest, the Wisconsin Economic Development Corporation has created an Emergency Loan Guarantee Program for Certified Propane Dealers.

Through this program, the WEDC aims to provide an incentive to financial institutions to extend lines of credit to propane dealers in Wisconsin so that they can meet the demands for this critical heating fuel among their customers.

The WEDC will generally guarantee the lesser of 80 percent of a new or expanded line of credit or $100,000 per dealer. WEDC has dedicated $5 million to the program, which will expire no later than June 30th. The loan guarantee program is created as a guarantee of collections, which means the bank is required to exhaust collection remedies prior to requesting funds from WEDC.

In order for a bank and business to be eligible for the program, it must provide a letter of good standing and underwriting for the certified dealer for which there is a line of credit; and evidence that the propane dealer is fully licensed. If you like to learn more visit http://inwisconsin.com/grow-your-business/programs/propane/.


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