Value-Added Loan Program

Subsidized 15-year loans (via Approved Lenders, BOI takes 75%) for Montana businesses that mechanically, physically or chemically transform materials into new products and create or retain at least 10 jobs. Policy 70.740's eligibility table says Farming, Ranching, Orchards and Crop Harvesting are NOT eligible, while Dairies, Cattle Feed Lots, Meat Processing Plants, Grain Milling and Processing, Wineries, Sugar Refineries and Wholesale Plant Nurseries ARE.

Montana 'Value-Added' business creating or retaining ≥10 jobs; borrower equity ≥25% of total loan; loan ≤75% LTV; no bonuses/dividends while loan outstanding; annual audited financials. Eligible ag examples: Wholesale Plant Nurseries, Wholesale Bakeries, Sugar Refinery, Cattle Feed Lots, Dairies, Winery, Meat Processing Plants, Grain Milling and Processing. Not eligible: Farming, Ranching, Orchards, Crop Harvesting, Landscaping, Retail Plant Nurseries, Christmas Tree Farms, Logging.

Max 15-year term incl. construction; BOI 75% / lender 25%; lender may charge prime (6%–12% floor/ceiling) and a 0.5% annual service fee on participated portion; job-credit and small-business rate reductions NOT available; no prepayment penalty.

Published amounts: Minimum loan size of $250,000. Maximum BOI participation is 75% of Lender loan; max Board share = 1% of the Permanent Coal Tax Trust (Policy 70.740). Rates: 10-14 jobs → 4% for five years; 15+ jobs → 2% for five years; 6% for the second five years; BOI posted rate thereafter, not to exceed 10%.

Approved Lender completes and submits the Application form at https://mt.accessgov.com/boi/Forms/Page/in-state-loan-programs/value-added-app ; BOI completes a full underwriting credit review; lender has one year to close and fund.

Deadline text on the page: No deadline; 'Fees to reserve funds or lock interest rates are not required. Reservation is considered effective upon receipt of application.' (Policy 70.740)