Frequently Asked Questions

Cascade West Business Lending has loan programs designed for small business startups or expansions when a business struggles to obtain traditional financing from a bank or credit union. These decades old revolving loan fund programs make loans to small businesses and as they are paid back more loans can be made. The goal of these programs is twofold, to create or retain jobs in our region, and to help stimulate private lending. We accomplish this by having job requirements per dollar amount borrowed and partnering with private lenders to help lower their risk and incent them to participate in the project financing.

What is our service area?

Businesses need to be located in Benton, Lincoln, or Linn Counties. We can refer you to similar programs for most Counties in the Willamette Valley. SBA 504 loans can be used anywhere in the State of Oregon. See our Unity Lending SBA 504 page.

What types of businesses are eligible?

For profit or not for profit businesses structured as sole proprietors, Limited Liability Companies, Corporations, and Partnerships. We support businesses from most sectors.

What can the funds be used for?

Funds can be used for small business purchases, renovation, or construction of commercial property, purchase of machinery or equipment, furniture and fixtures, and working capital.

How much can I borrow?

Loan programs have a minimum of $25,000 and a maximum of $250,000 and may be used to cover up to 75% of the total project costs. When we partner with private lenders the typical scenario is private lender 50% of the project, CWBL 35-40% of the project, and the borrower coming in with 10-15%.

What are the job requirements?

One Full Time Equivalent (FTE) per every $30,000 - $50,000 borrowed depending on the loan fund.

What are the interest rates?

Rates are tied to the prime rate and can be anywhere from 0.25%-2.00% above prime depending on loan risk. The rate will be fixed for the term of the loan.

What are the terms?

The term of a fixed asset loan will not be greater than the average useful life of the assets being purchased. Terms typically will not exceed 15 years. The term of a working capital loan will not exceed 5 years.

Is collateral required?

Yes, all projects will be collateralized to the greatest extent possible. Personal guaranties are also required of all 20% or more owners of the business. In most cases assignment of a life insurance policy is required on sole proprietorships and single member LLC’s.

Are there other costs and fees?

An application fee of $300 - $500 (depending on program) collected at time of application.
A loan fee of 1.50% on the amount borrowed.
The borrower pays all third-party processing and closing costs.
Loan payments are collected via ACH and there is a $12.00 monthly fee.

Is there a penalty if I pay the loan off early?

No. We encourage borrowers to pay off or refinance with a traditional lender as soon as they are able. This replenishes the program funds so we can help others like yourself.