A local loan fund that is usually controlled by a quasi-public or nonprofit organization involved in local economic development. Often initially capitalized through federal or state grants, RLFs are used to provide low-cost financing to local businesses. Once existing capital is loaned out, subsequent loan repayments are then "revolved" to other businesses.
A pool of money set up to make loans. The pool is replenished through borrower paybacks.
a capital fund established to make loans whereby principal repayments of loans are re-paid into the fund and re-lent to other borrowers
a pool of money that is initially capitalized by a grant or similar source
a variant of a bond bank, in which a sponsoring entity (in this case, EPA) provides capitalization funds to a managing entity (for example, a municipality) that are used to make loans for authorized purposes (brownfields cleanups)
Within a group of micro entrepreneurs, a loan is made and must be paid back in full before a second loan is granted to another member of the group. In some cases group members will provide the funds rather than an outside funding source.
A pool of money established to make below-market and/or high-risk loans. Money for these types of funds comes from socially motivated investors, as well as from government and corporate grants and loans.
Financing tool that recycles funds by providing loans, receiving loan repayments, and then providing further loans.
RLF In general, a fund structured so that repayments are used to make more loans. The term RLF is also used interchangeably with Community Development Loan Fund. The term is also used specifically to describe a non-profit loan fund, which depends primarily on public money to make housing and small business loans. In this instance, an RLF is distinct from a CDLF in that the RLF focuses on larger scale development; that is, the loans are generally larger and focus on less risky enterprises than a CDLF is willing to finance. Terms and rates are typically more favorable than conventional financing. An RLF can be administered by a non-profit organization or a public agency and is not overseen by any regulatory agency.
A Revolving Loan Fund (RLF) provides small business loans to people who have no credit history or access to commercial bank loans. Borrowers tend to be small producers of goods and services — typically farmers and artisans — and many are women. RLFs provide the initial loans for business start-up and expansion.