CHAPMAN LOAN PROGRAM
ABOUT the loan program
What is the Chapman Loan Program?
The Chapman Loan Program began as a grant from the federal government to create a revolving loan fund in East Texas. This grant was made possible by the hard work of then congressman, Jim Chapman.
The CLP is designed to provide long-term financing to eligible businesses. Loan proceeds can be used for fixed assets, new construction, renovations, leased property, equipment, inventory and working capital. CLP funds can even be used in some instances to provide equity injections.
We can fund loans from $30,000 - $250,000
Eligible Use of Funds
- Real Estate
- Equipment
- Inventory
- Working Capital (no more than 35% of total loan amount)
- Equity Injection (no more than 90% CLP project financing)
Loan Terms
Chapman Loans have a fixed rate that is determined by our board and adjusted every 3 years.
- Working Capital, Inventory, and Equity Injection up to 5 Years
- Equipment up to 7 Years
- Real Estate up to 15 Years
- 3% Processing Fee
Job Creation
One job must be created or retained for every $25,000 borrowed.
Who is eligible to apply?
Businesses located in the East Texas counties of Anderson, Camp, Cherokee, Gregg, Harrison, Henderson, Marion, Panola, Rains, Rusk, Smith, Upshur, Van Zandt, and Wood
How does the loan work?
The CLP Program involves a direct loan from the ETRDC to borrowers. The borrowers injection can be as low as 10%.
