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Oregon Business Development Fund (OBDF)
General · Business Oregon · OR
The Oregon Business Development Fund is a state loan program run by Business Oregon that provides fixed-rate gap financing up to $2,000,000 for small traded-sector businesses in manufacturing, processing, or distribution, with priority for rural and distressed areas of Oregon.
The Oregon Business Development Fund (OBDF) is a state-run financing program administered by Business Oregon, the state's economic development agency. Despite the word "Fund" in its name and its listing under funding programs, OBDF is a loan program, not a cash grant — it provides fixed-rate term gap financing that works alongside financing from traditional lenders such as banks or credit unions.
OBDF loans can be used to finance land, buildings, equipment, and permanent working capital, with loan amounts of up to $2,000,000 per loan. The program is designed for traded-sector small businesses — generally those in manufacturing, processing, or distribution — typically with fewer than 100 employees. Priority is given to businesses that create or retain jobs, especially those located in rural or economically distressed areas of Oregon.
For a small-business owner in Oregon looking to expand a facility, buy equipment, or fund working capital, OBDF can fill a financing gap that conventional lenders won't cover alone, potentially making a larger project financeable. Because it is a loan rather than a grant, businesses that use it will need to repay the borrowed funds with interest under agreed terms.
Deadlines are not fixed; the program operates on rounds, so applicants should check current application windows. As details such as interest rates, current loan caps, and eligibility can change, businesses should confirm the latest terms directly on Business Oregon's official OBDF page before applying.
Who qualifies
How to apply
Questions people ask
Is OBDF a grant or a loan?
It is a loan program — fixed-rate gap financing, not a cash grant.
Do I have to repay the money?
Yes, since it is a loan, it must be repaid under its agreed terms.
Who runs this program?
Business Oregon, the state's economic development agency, administers OBDF.
Who is eligible?
Traded-sector small businesses, typically under 100 employees, in manufacturing, processing, or distribution that create or retain jobs.
Is there a geographic priority?
Yes, priority is given to rural and economically distressed areas of Oregon.
How much funding can I get?
Loans can go up to $2,000,000 per loan.
What can the funds be used for?
Land, buildings, equipment, and permanent working capital.
Is this only for Oregon businesses?
Yes, it is limited to businesses eligible under Oregon's traded-sector criteria within the state.
When is the deadline?
There is no fixed deadline listed; check current open rounds at the official site.
Do I need a lender in addition to this loan?
Yes, OBDF financing works alongside traditional lender financing rather than replacing it.
Is the loan amount taxable?
Confirm at the source, as this is not addressed in the available information.
Where do I apply?
Through Business Oregon's official OBDF page at https://www.oregon.gov/biz/programs/OBDF/Pages/default.aspx.
Is this a one-time or recurring funding round?
Confirm at the source, as round timing is described only as 'check current rounds.'
Opportunity number: not published. Source: curated + verified (official state source, 2026). GetFundedUSA is independent and not affiliated with Business Oregon; always confirm current deadlines, amounts and eligibility on the sponsor's own page before applying.