MontcoForward Loan Program
Montgomery County, through its Commerce Department and the Montgomery County Redevelopment Authority (MCRDA) utilizes a coordinated approach to providing economic & workforce development services and assistance to individuals, entrepreneurs, investors, businesses, communities, and institutions. Through our component entities and expanding network of partners & stakeholders, we collaborate every day to make Montgomery County the place to live, work, learn, & invest.
The Commerce Department’s flagship economic development program is the MontcoForward Loan Program (MFL). A cooperative initiative of the County government and MCRDA, the MFL is designed to support eligible applicants & their projects in Montgomery County, Pennsylvania that have significant economic & community impacts.
Program Information & Eligibility
The MontcoForward Loan Program is designed to meet a variety of potential project needs based on best practices for economic development financing as well as identified market needs. The most recent version of the Program Guidelines was approved by the MCRDA in June 2023. The new program guidelines allow for consideration of eligible projects in one of four possible categories:
• Participation Loans – Borrowers working with a bank, credit union, and/or CDFI may apply for up to 50% of project costs (up to $1 million) for eligible costs described herein; these loans are designed to be similar to the U.S. SBA’s programs and Pennsylvania’s PIDA program, but with a more attractive lending rate.
• Sole-Lender Loans – Borrowers may apply for up to 80% of project costs (up to $500,000) for eligible project costs described herein; these loan applicants will need to meet higher equity, creditworthiness, and collateral standards.
• Agriculture Loans – Borrowers working with Agriculture lenders may apply for up to 50% of project costs (up to $1 million) for eligible project costs; these loans are designed to work with Agriculture lenders such that loan terms differ from other MFL categories.
• Housing Affordability Loans – Borrowers developing multi-tenant housing with an affordability component may apply for up to 50% of project costs (up to $1 million); these loan applications will be evaluated in partnership with the Montgomery County Office of Housing and Community Development and must meet that office’s standards for housing affordability.
In general, applicants adhering to program guidelines can utilize loan funds for the following eligible costs as part of a project:
• Participation Loans and Sole-Lender Loans – Building or land acquisition, new construction, owner-occupied or leaseholder improvements, working capital, machinery & equipment purchases (excluding titled vehicles for road use).
• Agriculture Loans – Building or land acquisition, new construction of agriculture facilities (including indoor farming), working capital, machinery & equipment purchases.
• Housing Affordability Loans – Land acquisition and new construction of multi-tenant housing with an approved affordability component in alignment with the PHFA LIHTC Program, the Montgomery County Homes for All Initiative, and the standards of the Montgomery County Office of Housing and Community Development.
Projects must have a clear, positive economic impact on the County through job creation and/or retention, revitalization of key “Main Street” areas in a municipality, diversification of commercial offerings and services, and/or development of housing affordable to the workforce. Before beginning the application process, potential applicants and interested parties are encouraged to thoroughly review the Program Guidelines and have a conversation about their project with a team member from the MCRDA and/or Commerce Department to determine eligibility and review the application process.
MontcoForward Loan Program Guidelines (current as of July 2023)
MontcoForward and PIDA Interest Rates (current as of November 2023)
Businesses interested in the MontcoForward Loan Program as well as other economic and workforce development assistance, information, and tools can begin the process by completing the Commerce Department’s Assistance Request Form.
The MontcoForward Loan Application utilizes the County’s OpenGov powered public platform. If this is your first time applying for a County program through the portal you will need to create an account in order to login. Once you have your account credentials, you can begin an application by selecting the active link on the Commerce Department’s Public Portal Tab. The current online application available in the public portal is named “MontcoForward Loan Program – Application – Version 07-2023-A”.
To begin your application process on OpenGov follow this link.
Applicants may complete their application at their own pace. If an applicant needs any assistance, MCRDA and Commerce team members are here to help.
As always, before beginning an application we strongly encourage potential applicants to discuss their project with a Commerce or MCRDA team member.
MontcoForward.org – Montgomery County’s economic development marketing web platform with information, data, and everything that makes this the place to live, work, learn, and invest.
Montco Site Select – Montgomery County’s site selection assistance initiative.
Redevelopment Authority of Montgomery County – Administrative Entity for the MontcoForward Loan Program, Certified Economic Devleopment Organization (CEDO) for the Commonwealth of Pennsylvania PIDA loan program, and administrative entity for C-PACE and other economic development finance programs.
Industrial Development Authority of Montgomery County – County economic development authority engaged primarily in tax-exempt bond financing for an array of growth and investment projects in Montgomery County.
MontcoWorks – The Workforce Development Board for Montgomery County and lead entity of workforce training, recruitment, and related services.