South Dakota Works

South Dakota Works Working Capital to Interim Construction Financing South Dakota Works is a flexible loan program that offers business and commercial loans to companies in need of working capital, fixed assets, and interim construction financing. The Works program is a true gap financing tool that target 20% of eligible costs on a project’s need for financing. The SD Works loan can be in a subordinated lien position to the lead lender’s financing. Eligible uses include building construction, equipment purchases, real estate financing, and working capital. For additional information and to learn more about this recently expanded program, contact a business development representative at (605) 773-4633 or [email protected] . Testimonials How It Works Use of Funds Terms How It Works The borrower works with a participating lender to secure matching funds to be used in conjunction with a South Dakota Works loan. Use of Funds South Dakota Works may be used for business purposes, including start-up costs, working interim construction loans. Ineligible uses of funds include: tenant improvements of an eligible place of business that is for passive real estate investment Refinancing Repaying delinquent federal or state income taxes Repaying taxes held in trust or escrow Terms Minimum 1:1 match with another lender 3% fixed interest rate 10% equity required 1% origination fee Amortization matched to a useful asset life Maximum 20-year amortization; 5 year balloon True gap financing How It Works How It Works The borrower works with a participating lender to secure matching funds to be used in conjunction with a South Dakota Works loan. Use of Funds Use of Funds South Dakota Works may be used for business purposes, including start-up costs, working interim construction loans. Ineligible uses of funds include: tenant improvements of an eligible place of business that is for passive real estate investment Refinancing Repaying delinquent federal or state income taxes Repaying taxes held in trust or escrow Terms Terms Minimum 1:1 match with another lender 3% fixed interest rate 10% equity required 1% origination fee Amortization matched to a useful asset life Maximum 20-year amortization; 5 year balloon True gap financing Downloads GOED Loan Application (pdf) GOED Loan Application (word) South Dakota Works Program