3-21-16 Reg. Meeting - Laserfiche WebLink

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BK -00028 PG -0175 G. The applicant must be a corporation, partnership, or sole proprietorship in good standing and eligible to do business in North Carolina. H. Eligible loans under this program can be made for the following: (1) Acquisition and development of land, easements, and rights-of-way; (2) Construction, conversion, enlargement, repairs or modernization of buildings whether owned or leased space (including fagade repairs), plant machinery, equipment, access streets and roads, parking areas, utilities, and pollution control and abatement facilities; (3) Equipment or machinery purchases (energy efficient products required); and/or (4) Operating capital and inventory, if fixed assets (machinery, equipment, real estate, etc.) are included as collateral with the proposed request. I. No RLF loan may be made for working capital. J. RLF loans may not be used for refinancing existing debt. K. RLF loans made at below market rates must meet minimum thresholds of one job created or retained per $15,000 in RLF funds; however, a minimum of two jobs must be created for such a loan if the amount exceeds $30,000. L. The loan must satisfactorily meet the credit underwriting standards described herein. M. The applicant must submit evidence that private sources will commit the funds necessary for the project (private loan(s), equity, etc.) to fund the portion of the project cost not funded by the RLF loan. Letters of commitment are required from each financing source. N. The applicant must furnish a letter of commitment to carry out the project if the RLF loan is made and must enter into a contract with the County obligating the applicant to the terms and conditions of the loan. Section 5 — Credit Underwriting Standards No loan shall be made unless the Loan Committee determines that the project and the owner(s) are acceptable credit risks. Customary loan underwriting practices shall be used; however, it is understood that projects applying under this program, by virtue of being appropriate for the RLF program, may not be appropriate for financing to the extent needed by private sources. The following information must be submitted by the applicant and shall be used in determining the soundness of the loan: A. The company and any potential guarantor must provide a credit bureau report dated within 30 days of the application date; B. A market study or business plan which demonstrates the feasibility and viability of the product or service as a business enterprise; 4