Financing
Texas Product/Business Fund
The Texas Product/Business Fund provides asset backed financing to companies doing business in Texas. Financing is done in the form of direct asset based loans with competitive lending rates. Loans can be amortized up to the life of the asset.
Benefit
- Asset Based Loans
- Competitive Loan-To-Value (LTV)
- Positive EBITDA not required
- Secure loans with property plant and equipment and accounts receivable
- Competitive variable interest rates
- Communities or individuals can assist as Guarantors
- Funds from asset based financing can be used for day-to-day operating expenses, or as capital for restructuring, turnarounds, mergers and acquisitions, buyouts, new equipment, new product lines, more efficient product lines, etc.
- Past loans have varied in use and amounts, which have been as low as $225,000 and as high as $40 million.
Eligibility
- Texas companies or out-of-state/international companies doing business in the state are eligible to apply.
- Businesses must have unencumbered assets that are available for collateral.
- Applicants can submit a free brief pre-assessment form in order to check eligibility.
- Preference for funding is given to the state's defined industry clusters including, but not limited to: nanotechnology, biotechnology, biomedicine, renewable-energy, agriculture, and aerospace.
- Job creation and retention within Texas will be considered within funding priorities.
Apply
To begin the application process, submit the Pre-Assessment Submittal Form to TexasProductFund@governor.state.tx.us.
Administration
The Office of the Governor, Texas Economic Development Bank administers the Texas Product/Business Fund at the direction of the Governor's appointed nine member board.
For Bank contact information, click here.
