Eligible projects include the development or expansion of manufacturing and industrial enterprises, as well as the improvement of infrastructure tied to specific businesses. The State of Texas Small Business Industrial Revenue Bond Program allows local industrial development corporations to issue tax-exempt bonds to finance land and depreciable property for manufacturing facilities. Eligible project costs include the acquisition by a business of an existing facility, acquisition of land, construction of new facilities, machinery tools, equipment, and a limited amount of the bond issuance costs. Industrial revenue bonds may be both taxable and tax-exempt. A project eligible for financing must consist of land, buildings, equipment, facilities and improvements found by the Issuer to be suitable for the development and expansion of certain public infrastructure and facilities.
Loans are subject to a variable interest rate.