Loan Guarantee
DESCRIPTION
To promote small business enterprises with special emphasis on assistance to those which will create or retain jobs.
USE OF FUNDS
Inventory, accounts receivable, equipment acquisitions, farm production, revolving lines of credit, short and intermediate term loans.
QUALIFICATION
Borrower must have received a commitment from a lender that participates in the guarantee program.
MINIMUM & MAXIMUM AMOUNTS
$1,000,000 guarantee for each business project.
MATURITY
Maximum of one year on lines of credit. Seven years on term loans.
INTEREST RATE
Market rate as negotiated by lender and borrower.
COLLATERAL
Available business and personal assets, machinery and equipment, accounts receivable, inventory and real property.
FEES
2% of the guaranteed portion of the loan and a $250 documentation fee.
