Child Care Lending

The Vermont Community Loan Fund believes that quality facilities are a key component of quality child care, and as such we provide loans and technical assistance for private, nonprofit, home and
center-based child care providers in Vermont. We are especially interested in child care programs that serve infants and toddlers, children from low- and moderate-income households and children with special needs.

The Vermont Community Loan Fund believes that quality facilities are a key component of quality child care, and as such we provide loans and technical assistance for private, nonprofit, home and center-based child care providers in Vermont.

Eligibility applies to Vermont child care programs that:

• Operate under the regulations of the Vermont Child Care Licensing Division
• Licensed centers and registered and licensed homes
• Centers and homes that are in the process of becoming licensed or registered

Loans may be used for:

• Improvements to meet Vermont Core Standards
• State regulatory requirements
• Improvements to meet ADA accessibility standards
• Renovations or additions to improve programs or increase capacity
• Purchase of equipment and materials to improve quality of service

Rates and terms:

• The interest rate is 6.5 %
• Terms range from several months up to 30 years
• Term, rate and repayment schedule is project specific and based on project need and strength of proposal.

Collateral:

• Collateral is required on fixed assets, inventory and receivables. VCLF may also require security in the form of personal guarantees, collateral on personal assets or a cosigner.

Maximum loan amount:

• The current maximum loan amount will not exceed $350,000.

Fees:

• Application fee of $25.
• Origination fee of 1.0% of the loan amount, due at closing.
• Loan documentation fee of $125, due at closing.
• Expenses incurred for recording of collateral documentation and anticipated discharges of such documentation, due at closing.

To apply:

• We encourage you to speak to a loan officer before submitting a loan application.You may download information and pre-application sheets:
• Nonprofit child care
• Family child care
• Child care loan pre-application

For more information, please contact the Child Care Lending department at (802) 224-9141 or by e-mail.

Helpful Links for Child Care providers:

• Vermont Department for Children and Families - Child Development Division
• STARS - STep Ahead Recognition System
• Vermont Department of Education Child Nutrition Programs
• National Association for the Education of Young Children
• National Association for Family Child Care