What is First State Community Loan Fund?
Founded in 1993, First State Community Loan Fund is a not-for-profit Community Development Financial Institution (CDFI) that specializes in supporting small businesses, micro-enterprises and affordable housing development in the State of Delaware. First State’s mission is to promote and provide creative opportunities for access to capital for businesses, developers of affordable housing, and community organizations throughout Delaware.

As a federally certified CDFI, First State Community Loan Fund leverages funds from investors and contributors to lend for the construction and renovation of affordable housing, the start-up and expansion of businesses, and the provision of essential community services.

What is a Community Development Financial Institution?
Community Development Financial Institutions are mission-driven financial institutions that provide financial products and services to people and communities that are underserved by traditional financial institutions. These organizations create jobs, provide affordable housing and build wealth for disadvantaged communities throughout the country.

What types of programs and services does First State Community
Loan Fund offer?
First State Community Loan Fund has two primary programs, the Small Business Program and the Affordable Housing Program. The Small Business Program includes the Microloan Fund and the Business Growth Fund. The Affordable Housing Program includes the Affordable Housing Loan Program and the Housing Pre-Development Revolving Loan Fund. First State Community Loan Fund also administers the Delawareans Save! Individual Development Account Program.

What small business lending programs does First State offer?
The Microloan Fund is for most business uses, such as, working capital, inventory, machinery and equipment. Loans range from $300 to $15,000. Loan terms go up to 36 months.

The Business Growth Fund can be used for real estate, working capital, inventory, machinery and equipment. Loans range from $15,000 to $50,000. Loan terms go up to 60 months.

What housing development programs does First State handle?
The Housing Pre-Development Revolving Loan Fund provides financing for experienced, not for profit developers that are developing affordable housing throughout Delaware. This fund is limited to predevelopment uses and provides up to $60,000 at 0% interest for 12 months.

The Affordable Housing Loan Fund provides financing for experienced, developers (not for profit & for profit) that are developing affordable housing throughout the State of Delaware. Eligible loan purposes include predevelopment, acquisition, construction and renovation, as well as bridge and gap financing. This fund provides up to $350,000 per obligor with a 5-year maximum term.

What is Delawareans Save!?
The Delawareans Save! Individual Development Account (IDA) program is a special savings program that assists individuals in building assets and increasing wealth. It will match your savings dollar for dollar for specific purposes. You can save a dollar and earn at least another dollar!

This program is funded by government agencies, corporations, and not-for-profit organizations in order to teach savings and improve the financial stability of lower income Delawareans.

How does a person become a client of First State Community Loan Fund?
First State offers monthly business loan information sessions for business owners interested in obtaining $300 - $50,000 for inventory, equipment, real estate, and working capital. These no fee informational meetings are held throughout the state. These sessions cover the various technical assistance and business consulting resources available in Delaware, outline the process for obtaining a loan and also discuss credit repair.

What is so different about First State in comparison to banks and other financial institutions?
The main difference is that First State specializes in working with people or organizations that cannot obtain financing through conventional sources, such as banks.

With which membership organizations is First State affiliated?
Opportunity Finance Network, a network of more than 160 private-sector community development financial institutions (CDFIs) that provides financing, training, consulting, and advocacy for CDFIs.

Association for Enterprise Opportunity, the national association of organizations committed to microenterprise development. AEO provides its members with a forum, information, and a voice to promote enterprise opportunity for people and communities with limited access to economic resources.

Who do you contact at First State for more information?
Van Hampton or Delores Lee at (302) 652-6774.