1. “Access to Capital” Revolving Loan Funds for Entrepreneurship Rand M. Fisher Iowa Area Development Group Community Vitality Center Presentation Entrepreneurship Academy October 20, 2004

2. CVC Entrepreneurship Academy Introduce Iowa Area Development Group Share IADG’s “RLF Success Story” Present RLF Borrowing Opportunities Explore Iowa’s Vast RLF Resources Presentation Overview

3. Introduce Iowa Area Development Group Membership Sponsors Mission Strategy Results

4. IOWA AREA DEVELOPMENT GROUP Community Foundation “IADG: Powerful Partnerships... connecting people and resources to grow businesses and communities in Iowa!”

5. The economic development organization for Iowa Rural Electric Cooperatives & associated Municipal Utilities. Membership 85 consumer owned utilities

6. Sponsors

7. Mission Creating & Sustaining An Economic Development Culture Among Member Utilities

8. Strategy TRAININGTRAINING RESEARCHRESEARCH T A E S C S H I N S I T C A A N L C E MARKETINGMARKETING

9. Results 507% increase in C&I power sales 388% increase in C&I revenues 73 industrial parks (5,385 shovel ready acres) 56 speculative buildings (1.5 M sq. ft.) 84 USDA awards ($22.8 million) 28 rural revolving loan funds 1,000 plus projects

10. IADG’s “RLF Success Story” USDA REDG Program USDA IRP Program IADG Partner Participation IADG RLF Landing Statistics

11. USDA Grant for Revolving Loan Fund RUS Grants to RLF $300,000 Max REC Administered RLF $360,000 REC REC Matches 20% with own funds $60,000 Max

12. IADG Partner Participation 51 REDG Awards $14,459,144 28 Revolving Loan Funds 6 IRP Awards $3,450,000 $3,754,328 of IADG Partner Match 138 REDG & IRP Loans $158 M Investment Leverage 4,270 Job Creation/Retention

13. RLF Borrowing Opportunities Eligible Applicants Eligible Uses of Funds Ineligible Uses of Funds Loan Terms RLF Project Lending

14. Eligible Applicants New or Expanding Private Businesses Local Governments Non-Profit Community Organizations

15. Eligible Uses of Funds Land Purchase Buildings Fixed Assets Machinery & Equipment Infrastructure

16. Ineligible Uses of Funds Pre-development Costs Refinancing

17. Loan Terms (Typical) Amounts: Minimum/Maximum $5,000 to $150,000 Rates: 0 to Prime - Ave 4% Terms: Based on Collateral Building10 years Real Estate10 years Equipment5 to 7 years Other Funding: 20% Debt or Equity

18. RLF Project Lending Manufacturing Service Agricultural Retail Medical Community Facility

19. Iowa’s Vast RLF Resources Iowa Rural Development Council Survey Results Electronic Data Base

20. IRDC Survey and Results Preliminary Findings 73 RLF Funds $19 M in Capital Access, Balance, Term & Contact Information ultimately available at: www.iowarural.org