Two Loans Help Manager Buy Long-time Family Firm

Louis Foods had been in the Rothhaas family for 112 years and was a fixture in Walnut Hills since 1961. But when Lou Rothhaas decided it was time to spend a little less time with the business, there was no family member ready to take it over. But thanks to two loans administered by the Hamilton County Development Co., 12-year employee Bryan Lukehart was able to buy the business and the inventory and keep 10 employees working in the heart of an economically depressed neighborhood.

Louis Foods is a full-service retail meat store that sells its Uncle Lou’s brand of steaks, chops, sausages, lunch meat, and its specialty, chitlins. Its heritage dates back five generations to 1887. Mr. Lukehart used two loan programs offered by HCDC to buy the business and keep it operating – the Community Reinvestment Fund USA’s New Markets Tax Credit loan program and the Small Business Administration’s 504 Loan Program.

New Markets is a relatively new program that was created to revitalize targeted urban and rural areas by providing financing to businesses that create or retain jobs, renovate, expand or acquire real estate and refinance real estate debt. The program gives eligible borrowers low, fixed-interest rate loans of up to $2.5 million and terms up to 25 years.

He also used the SBA 504 program as his second mortgage. The 504 program is designed to help businesses acquire land, buildings, machinery, equipment to expand and create jobs.

“They offered me the best rate I could get,” Mr. Lukehart says.

Both programs offer low, fixed-rate financing for small businesses that create or retain jobs and help improve or stabilize the local economy. Mr. Lukehart was able to successfully use both programs to keep a long-time business operating in a low-income area. Next on his menu: expansion, including deliveries and summertime cookouts.

For more information about financing programs offered by HCDC, please contact us at 513-631-8292 or 888-504-HCDC (4232).