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Community Express SBA Loan
The Community Express SBA loan was
designed by the SBA to make credit more accessible to businesses that do not
qualify for conventional financing due to their length of time in operation or
insufficient collateral. CDC Small Business Finance partners with local lending
institutions to administer this loan program. Loans are available up to
$250,000 to business located in low to moderate income areas and other emerging
markets.
Eligibility Criteria
1) Historical cash flow for existing businesses.
2) Reasonable personal credit of principal borrowers.
3) Required to pledge collateral that is available. Insufficient collateral
will not preclude borrower from obtaining financing.
4) Start up businesses (< 2 years):
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Management experience in industry (2 years minimum)
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Capital injection (30% of total project)
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Business Plan/ Projections/ Assumptions on which projections are based.
Terms and Conditions
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Maximum loan amount of $250,000.
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Terms range from 7-10 years (25 years for real estate).
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Interest rate: prime + (2.25 to 2.75, variable).
Technical Assistance Requirement
In order to give the bank a higher level of comfort in approving the loan, the
applicant is required to receive some type of technical assistance post
funding. The TA Action Plan is created by CDC based on the borrower’s needs.
Post funding requirements range from quarterly financial reporting to six
months of one-on-one counseling. There is no cost to the borrower for this
service.
Program Administrator
Susan Lamping
Technical Assistance Coordinator
Phone: (619) 291-3594
Fax: (619) 291-6954
Email: slamping@cdcloans.com
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