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| Business in need of equity financing can look to the Development Fund as a possible solution. |
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The North Dakota Development Fund coordinates efforts between all the sources of financing, the business and the community. Any project considered for this financing must be feasible and have a reasonable chance of succeeding.
The fund provides "flexible financing" through loans and equity investments not available from most conventional lenders and is available to any primary sector business with the exception of production agriculture. The Development Fund also administers the Regional Rural Revolving Loan Fund, which provides funding for primary sector projects located in a community of less than 8,000 in population or located more than five miles outside the city limits.
The fund is a source of financing whose funds can be subordinated to a company's lead lender. If a business can't handle added debt, the Development Fund can take an equity financing position.
UPDATE: The North Dakota Development Board voted March 19, 2020 to suspend all payments, both principal and interest for all outstanding NDDF loans for 30 days, effective today.