The Rural Electric Economic Development (REED) Fund is a non-profit corporation created by Lake Region Electric Association, Inc. and other East River member cooperatives in order to offer financing for business, agri-business, infrastructure and community development projects that benefit rural areas.
The mission of the REED Fund is to support Lake Region Electric and other electric cooperatives in providing financing and to help leverage investment in communities and rural areas to make a difference in our region.
REED was formed in 1996 and is owned and governed by the East River member cooperatives serving eastern South Dakota and western Minnesota.
Applicants must be legal entities, sole proprietors, and/or units of the government.
A minimum of 10% owner’s equity in cash or assets of the project/business is required.
Request cannot exceed 50% of a project’s total cost, accompanied by either bank commitment or denial, and must reasonably assist the project.
Assurance of willingness and ability to repay the loan and adequate collateral.
The proposed project must be located within Lake Region Electric’s service area.
The proposed project must fall into REED’s three target loan markets.
Business, Industrial, Development and Infrastructure: Loans support business growth and development and contribute to employment and business ownership opportunities. The loans benefit retail, service, tourism, manufacturing and technology sectors.
Value-Added Agriculture: To recognize agriculture’s impact on the region’s economic base, REED makes loans to support projects that add value to local agriculture production through innovation, improved services, further processing or marketing. Loans are not made for traditional production agriculture.
Community Development: Community services and quality of life are necessary for sustainable development. Loan recipients may include, but are not limited to, civic and philanthropic organizations, educational institutions, local governments and special purpose districts.
To learn if you qualify for REED financing or more information, visit REED's website.