| |
| MISSION: |
| |
The Microloan Program is designed to assist start-up, newly established and growing small business concerns obtain short-term, fixed interest rate loans. |
| ELIGIBILITY: |
| |
The borrower must be a for profit business concern within the State of North Dakota. The form of organization, whether a sole proprietorship, partnership, or corporation, is not a determining factor. |
| USE OF LOAN PROCEEDS: |
| |
- 1. Provide working capital.
- 2. Purchase inventory and supplies.
- 3. Purchase business furniture and fixtures.
- 4. Purchase business machinery and equipment.
Funds may not be used for down payment equity purposes or real estate.
|
| LOAN LIMITS: |
| |
Loans under $7,500 are encouraged, but the loans are limited to $35,000. A loan of $20,000 or more will require evidence that credit cannot be obtained elsewhere. |
| INTEREST RATES: |
| |
This program will provide a fixed interest rate over the life of the loan, however lending rates will be subject to change for new borrowers. Call Lake Agassiz Regional Development Corporation for current rates. |
| LOAN MATURITY: |
| |
Repayment terms vary depending on the use of the proceeds. In no case will the term exceed six years. |
| FEES: |
| |
Fees consist of actual closing costs which may vary. In addition, a fee of $100 per year for loan administration will be charged. No points or origination fees. |
| SPONSORING AGENT: |
| |
Administered By: Lake Agassiz Regional Development Corporation
Sponsored By: U.S. Small Business Administration |
| EQUITY REQUIREMENTS: |
| |
A minimum of 10 percent equity in the business. |
| COLLATERAL: |
| |
A minimum of 70 percent collateral will be pledged to the loan with a first lien position. The 70 percent collateralization is based on the amount of the loan being requested. |
| PERSONAL GUARANTEES: |
| |
Will be required. Applications can be obtained from the following contact offices: Bismarck 701-255-4591 and Fargo 701-235-1197.
|
| CONTACT: |
| |
Randy Kingsley
Lake Agassiz Regional Development Corporation
417 Main Avenue
Fargo, ND 58103
701-235-1197
Fax: 701-235-6706
This e-mail address is being protected from spam bots, you need JavaScript enabled to view it
|
|
|
Last Updated ( Tuesday, September 25, 2007 )
|
