Orange County NC Website
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22 <br />Heed ca p) to grow your b ' s <br />The Orange County Small Business Loan Program is a revolving loan fund de- <br />signed to foster successful local business development and expansion. The pro- <br />gram is targeted toward businesses that may have limited access to conventional <br />financing and was developed by Orange County to promote the economic devel- <br />opment within the county. <br />Process <br />Applicant Eligibility <br />Application packages can be obtained from the <br />® Applicants must be for - profit business <br />Economic Development office in Hillsborough. <br />entities whose gross revenues do not <br />Completed applications will be submitted to this <br />exceed $3 million /year <br />office as well. Applicants may be referred to the <br />® All businesses must be located within <br />Small Business and Technology Development <br />Orange County in areas zoned appro- <br />Center (SBTDC) for assistance in preparing a <br />priately for their use (owner's length of <br />residence in Orange County may be <br />competitive submission. Applications are then re- <br />considered in assessment). <br />viewed by a Loan Committee, comprised of com- <br />♦ Applicants must have an equity contri- <br />munity volunteers including bankers, small busi- <br />bution of at least 10% in the business. <br />ness owners, and county staff. The Loan Commit- <br />® All owners of the business may be re- <br />tee will make the final decision on all loans and <br />quired to execute an Unconditional <br />terms. <br />Guaranty for the full amount of the <br />loan. <br />See Policies and Procedures for additional information <br />o Applicants with pending criminal <br />charges or who have been convicted <br />of a crime and still serving an active <br />Eligible use of Proceeds <br />prison sentence, are on probation or <br />parole are not eligible for an Orange <br />® Working capital or operational funds <br />County Small Business Loan. <br />® Purchase of equipment or commercial -use vehi- <br />cles <br />® Improvement of owner- occupied commercial <br />Terms andCondition's* <br />property (owner must occupy 50% or more of <br />total space) <br />;Maximum loan Up to $50,000. <br />-., ; __ <br />o Start -up funding <br />iMaximum term 5!years <br />Expansion of business services or products <br />7.:years (Purchase /improvement of <br />o Acquisition of owner - occupied commercial real <br />real estate) <br />estate <br />o Tenant up fit and lease -hold improvements <br />Tees Ongmation fee ofi'1% to` .1 5% Ad <br />d tional!fees may be applicable <br />Workforce expansion <br />o A small business loan request that is to be used <br />Interest Typically prime rate plus 2% t6_3% <br />in conjunction with other financing will be con- <br />sidered on a case -by -case basis. <br />*Final loan, rates "and terms are set by, the;Loarr <br />Committee on a case by =case basrs <br />