The Business Finance Authority knows that New Hampshire municipalities and local development organizations (LDOs) play a vital role in stimulating New Hampshire's economic development. To assist these efforts, the BFA offers two programs which help LDOs be more flexible and creative with their lending and economic development efforts. 

The Secondary Market for Loans Program enables LDOs to turn over their loan portfolio by selling their existing loans to the BFA and using the proceeds to make additional loans. The program allows LDOs to expand their lending capacity and meet loan requests they otherwise would not have been able to meet.

The Aid to Local Development Organizations Program provides LDOs with additional resources to develop and expand their local economies. When a business applies for a loan which exceeds a LDOs capacity, the LDO may apply for additional funding from the BFA. By helping LDOs expand their lending power, the BFA works hand-in-hand with LDOs to foster local economic growth.

For more information on how the BFA can help build your local economy, contact your local development organization or the Business Finance Authority at (603) 415-0190.




  • Any local development organization (LDO), including municipalities, dedicated to the promotion and development of New Hampshire business, is eligible for this program
  • The LDO must have a detailed plan describing how the proceeds of the loan sale will be used to develop business and maintain or create employment opportunities (Secondary Market for Loans Program only)


  • The business applies for a loan from LDO. If additional funds are necessary to make the loan, the LDO applies to the BFA, either for assistance, or to sell existing loans
  • All applicants submitted by LDOs must receive approval from the BFA and authorization from the Governor and Council of the State of New Hampshire
  • The terms of the loan to the business will be determined by the LDO


  • A fee equal to 1% of the loan guarantee is due at closing
  • An annual fee of up to 2% of the loan guarantee is also required

$0 - 250,000                                            $250
$200,001 - 500,000                                 $500
$500,001 - 1,000,000                              $1,000
Each additional increment                       $1,000
of $1 million