By Kayla Hayick, Director of Lending & Business Outreach
Did you know that the Greater Reading Chamber Alliance (GRCA) can provide funding to Berks County businesses that want to grow and expand? Under GRCA’s affiliate, the Greater Berks Development Fund (GBDF), we are authorized to apply for various state funding programs for eligible businesses. As the only Certified Economic Development Organization (CEDO) serving Berks County, GBDF is a conduit to access funding programs offered through the Pennsylvania Department of Community & Economic Development.
In addition, we partner with other local organizations to identify resources for businesses and projects. We are committed to helping businesses succeed in Greater Reading. One of the most frequently used loan programs utilized is the Pennsylvania Industrial Development Authority (PIDA) loan program. This program provides below-market interest rate loans for land and building acquisitions, construction and renovation costs, and machinery and equipment purchases. The PIDA loan program can provide up to 50% of the total project costs (maximum of $2.25 million), with the remaining portion coming from a combination of traditional bank financing, other state/ federal sources and equity, depending on the project.
A recent example of a PIDA project is New Castle Lawn and Landscape. New Castle has been serving both residential and commercial clients in Berks County and surrounding areas for more than 25 years. With the company’s growth, it needed room to expand its operations. GBDF was able to assist with PIDA financing in the amount of $840,000 to aid in the purchase of land adjacent to its current headquarters in Birdsboro. They will be increasing their footprint with parking, and then plan to construct a building in one to two years. The building will be used to warehouse its equipment and trucks to ensure a longer life. This project was undertaken in partnership with Fulton Bank.
One of the eligible uses of PIDA financing is for agriculture-related projects. In June, we were able to help a young family purchase a crop farm in Bernville. They were the successful bidders for an 81+ acre farm. The family plans to grow wheat, wheat straw and soybeans on their farm. They will be continuing in their family’s footsteps by owning and operating their own farm. PIDA was able to provide a $400,000 loan and partner with Tompkins Bank and the Farm Service Agency.
If you need resources for a project, please contact me at 610.698.2703 or khayick@greaterreading.org to see if GRCA can be of assistance.