FULTON COUNTY — Local economic development officials want to get the word out that almost $2 million in loan money is available to business owners looking to upgrade their operations or start new enterprises.

The Fulton County Economic Development Corp. has about $1.5 million in loan money available to county businesses. Some $3.5 million has already been loaned to about 45 businesses through the loan program.

“We’re really hoping to spur some activity here,” said Jamie Levendusky, director of accounting and administration at the Fulton County EDC. “It’s important that we do this.”

The Fulton County EDC recently took over the administration of the Gloversville Economic Development Corp., which has $398,000 in loan funds available to city businesses.

“It was just a matter of convenience really, to help oversee the administration of the loan pool,” said Lisa McCoy, the marketing director at the Fulton County EDC.

McCoy said the move made sense because the Fulton County EDC has a paid staff and the Gloversville EDC does not.

“We have the resources,” she said. “They just don’t have the staff to do that.”

The money to start up the loan pools came mostly from U.S. Department of Housing and Urban Development grants, according to Levendusky.

In addition to the 45 businesses currently borrowing money from the Fulton County EDC loan pool, nine have outstanding loans with the Gloversville EDC.

Businesses can borrow money for costs related to buildings and property, equipment and start-up expenses.

Some examples of current loans in Gloversville include plant upgrades at a food wholesaler, equipment upgrades at a leather company and start-up funds for a local gift shop.

“We fill that gap between what they need and what the commercial banks are willing to give them,” Levendusky said. “We are sometimes the last resort for people wanting to grow or start a business.”

Gloversville EDC board member Wally Hart said the employee that the EDC had been paying to administer its loan pool retired about 18 months ago.

Since then, volunteer board members have had to juggle their own full-time jobs and administration of the loan pool.

Hart says this was not only a burden to the board members but the lack of a consistent point of contact proved frustrating to businesses interested in borrowing funds.

This, he said, led to the decision to have the Fulton County EDC take over the loan fund.

A small part of the interest rate paid by businesses under the Gloversville EDC loan program will be paid to the Fulton County EDC for administration fees, according to Hart.

“These are funds that are available to the community,” he said of the loans. “As volunteer board members, we have a responsibility that those funds are safeguarded and make sure the funds are used.”

Hart is also the president of the Fulton County Regional Chamber of Commerce and Industry.

“If we’re going to have funds available, people have to be able to get them,” he said.

“It’s really a win-win all the way around.”