The Dakota Resources Capital Investment Fund (CIF) builds financial capacity of South Dakota’s Economic Development Corporations and Revolving Loan Funds who finance local development projects. Capital Investment Fund loans

1. Term is 10 years.
2. Rate is currently 3.60%, variable adjusting annually at the discretion of Dakota Resources until final maturity of the note. The maximum rate will not exceed 5%.
3. Repayment is interest-only payments due quarterly. Principal due at maturity.
4. Loan Fee is 1% of the principal amount due at origination or upon renewal.
5. Application Fee is $1,000 non‐refundable.
6. No Prepayment Penalty for early principal payment.
7. Unsecured credit with no collateral requirement.
8. May be renewed at maturity, subject to prevailing rates and fees at time of renewal.
9. Flexible, with neither job creation requirements nor limits or restrictions on the kinds of projects or businesses financed.
10. Can be used as local matching funds when applying for State, Federal or other sources of funding.
11. Can be blended with other funds to achieve an attractive effective interest rate.
12. $50,000 minimum loan.
13. Loan maximum depends on the size of the Economic Development Corporation or Revolving Loan Fund’s current capital pool and the experience of the organization.
14. Approval process is streamlined and timely. (See application)
    1. Approvals are granted for one year subject to no material changes.

Potential uses of funds:

• Micro Loans
• Business Loans
• Community Loans
• Leasehold Property Development
• Industrial Park Development
• Other Financial Products

Qualifying for CIF loans

In order to qualify, Economic Development Corporations and Revolving Loan Funds, including start‐ups, must demonstrate capacity to use capital productively by evidence of:

• A mission consistent with the mission of Dakota Resources
• Sound management and governance
• Adequate capital source
• A need for loan capital

*We underwrite the organization—not the projects that will be funded.

CAPITAL INVESTMENT FUND BORROWERS

• Aberdeen Development Corporation
• The Beadle and Spink Enterprise Community
• De Smet Development Corporation
• Eureka Community Development Company, Inc.
• GROW South Dakota
• Greater Huron Development Corporation
• Lake Area Improvement Corp
• Mobridge Economic Development Corporation
• Pierre Economic Development Corporation
• Rural Electric Economic Development, Inc.
• Sturgis Economic Development Corporation
• Webster Area Development Corporation

 CAPITAL INVESTMENT FUND INVESTORS (2008-13)

• 1st Financial Bank USA
• *Avera Health
• Bank of the West
• BANKFIRST
• BankWest, Inc.
• *Black Hills Corporation
• Calvert Fund
• CDFI Fund (US Department of the Treasury)
• CorTrust Bank
• Communities At Work Fund (Citi)
• Dacotah Bank
• First Bank & Trust
• First Dakota National Bank
• First National Bank in Sioux Falls
• First National Bank South Dakota
• First National of Nebraska CDC
• First PREMIER Bank
• First Interstate BancSystem
• Great Western Bank
• Home Federal Bank
• Midcontinent Media, Inc
• Norg Sanderson
• Sanford Health
• SDN Communications
• Sioux Falls Development Foundation
• Target National Bank
• US Bank
• Wells Fargo CDC
• Wells Fargo Financial
• Wells Fargo SD NA
• *Xcel Energy Inc.

*Capital Grantors