WHEDA Announces Loan Guarantee for Local Restaurant

Royal Café under new ownership; Now Red Hill Royal Café

Madison - The Red Hill Royal Café, a family restaurant in Coloma, WI is the recipient of a Small Business Loan Guarantee (SBG) from the Wisconsin Housing and Economic Development Authority (WHEDA®).

The nearly 30-year-old restaurant, formally Royal Café, will be retaining three jobs and creating two more with the assistance of the WHEDA guarantee on a commercial loan provided by Bancroft State Bank.

"Wisconsin communities have been built on the strong foundations created by our small businesses," said WHEDA Executive Director Antonio Riley. "WHEDA is proud to aide these small business owners with financing programs like SBG, in order to expand their operations."

The loan guarantee allowed the new owners to purchase the existing real estate and equipment for the restaurant. The Red Hill Royal Café is located at 130 West Follett Street, Coloma, right off Interstate 39.

A WHEDA SBG helps Wisconsin businesses by providing a maximum guarantee of $200,000 on bank loans. Borrowers can use the loan guarantee to expand or acquire a small business located in Wisconsin, for revolving lines of credit or permanent working capital, for expenses including land, buildings, equipment and inventory, and in some cases to refinance debt. The project must also create and retain jobs.

WHEDA is an independent state authority that works with lenders to provide low-cost financing for housing and small business development in Wisconsin. For more information on WHEDA's housing programs, call 1-800-334-6873 or visit browse this web site.