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Mission

The mission of the Headwaters Regional Finance Corporation (HRFC) is to be a catalyst for business and economic development in the Headwaters Region. The HRFC accomplishes its mission by providing “gap” financing to new and expanding businesses, and supporting and coordinating projects with private lenders and other economic development assistance providers.

HRDC Business Finance

The Headwaters Regional Finance Corporation (HRFC) is a subsidiary of HRDC with the responsibilities of administering revolving loan funds for business development. The HRFC’s primary fund (EDA RLF) has been in existence since 1979. This fund was capitalized through a series of grants from the Federal Economic Development Administration (EDA) and currently operates with an asset base of $3.6 million. A nine-member board of directors oversees the HRFC while a loan committee reviews applications brought forth by staff.

Financing Focus

  • Support projects that will increase wealth and prosperity of employers, employees and communities through job creation and/or wage growth.
  • Encourage investment in state-of-the-art technology and innovative ideas.
  • Support projects that enhance ‘quality of place’ in our communities, which will help to
    retain and attract a quality workforce.

General Policies

  • A financing ‘gap’ must be identified.
  • Loans amounts from $10,000 – $350,000
  • All loans must be secured with collateral and personal guarantees.
  • Interest rates are typically below market rate.
  • Generally, borrowers will be required to show a 10% equity contribution.

Eligible Activities/Use of Funds

  • Purchases of equipment and other fixed assets
  • Working capital needs
  • Start-up expenses for new ventures
  • Purchase of real estate for business expansion
  • Product development expenses for existing businesses

HRFC Business Loans

The HRFC staff provides RLF administrative support to several cities, counties, and utilities in our region. The links below provide you access to their loan applications.

To apply for RLF funding please contact:

Sean Moran, Loan Officer
Headwaters Regional Finance Corporation
smoran@hrdc.org
218-333-6544
PO Box 906
Bemidji, MN 56619

Our Partners:

Existing Borrower Information

We are proud to serve you with your financing needs.

Here you will find documents that you will need to comply with the terms of your loan agreement. Please note, not everyone is required to complete these forms. Please refer to our request letters or your loan agreement to determine whether you need to complete the forms.

Job Report
Upload Forms

About HRFC-HRFC Board

Current Board

  • Cal Larson - Chair/Ex-officio member
  • Ron Johnson - Vice-Chair
  • Nick McArthur- Treasurer
  • Rick Rone - Secretary
  • John Nelson
  • Jason Funk
  • Kurt Knott
  • Nate Haskell
  • Naomi Carlson - Executive Director - Non-Voting Member

HRFC Loan Committee

  • Jason Funk- Chair
  • Nick McArthur - Vice-Chair
  • Rick Rone- Ex-Officio Member
  • Kurt Knott
  • Nate Haskell
  • Naomi Carlson - Executive Director - Non-Voting Member

If you have any questions, please contact:

Sean (edited)

Sean Moran

Loan Officer
218-333-6544