ADFA has set aside $2,000,000 for tourism
development direct loans for new business start up or expansion in the
tourism industry. An additional $250,000 will
be made available from the Arkansas Department of Heritage for projects which have
cultural or historical significance.
The loan rate is ½ of the maximum finance rate allowed by the Arkansas Usury Law.
Loans will be a 50/50 match with local financial institutions. The local financial
institution will service all loans. There is no maximum or minimum project size.
Maximum state loan amount is $250,000. Minimum state loan amount is $1,000.
State loan proceeds must be for fixed costs only such as acquisition of land and
buildings, new construction, renovation, of an existing building, site improvements and
purchase of new or used equipment (existing buildings and used equipment must be
Business planning and business skills training from UALR Small Business Development
Center (SBDC) or similar programs will be encouraged for new and existing
A standard pre-application form has been
developed to keep costs to a minimum. Any legal and closing costs associated with the loan
will be paid by the borrower and can be financed.