CDR's Small Business Loan Program is designed to assist under-capitalized, start-up and existing small businesses. Theses businesses, for many reasons, often cannot qualify for traditional bank financing and support. We can provide loans in amounts as low as $1,000 and up to $100,000.
SBA Microenterprise loans: This loan serves start-up and micro-businesses and is funded by the SBA. Loan amounts range from $1,000 up to $50,000; amortized with a term from 1 to 6 years. Loans amounts up to $10,000 will have an interest rate of 8.5%; loan amounts over $10,000 will have a rate of 7.75%, and will be secured with appropriate collateral. The Promissory Notes for these loans will be assigned to the SBA.
Small Business loans, $50,000 to $100,000, amortized with a term from 1 to 5 years, with interest rates from 6% to 9%, and secured with appropriate collateral. This loan serves existing and growing small businesses, from EQ2 funds.
Community Development loans, $1,000 to $100,000, amortized with a term from 1 to 5 years, with interest rates from 6% to 9%, and secured with appropriate collateral.
All loan applicants must meet the following criteria:
Applicants must be at least 19 years of age.
Applicants must be U.S. Citizens or have a permanent residence card (I-551) or have an arrival-departure card (I-94) with a departure date that exceeds the term of the loan.
Completion of required loan documentation.
Borrower must have reasonable credit, or have demonstrated a willingness to repay debt by rectifying past credit problems.
Applicant requesting the loan must be the business owner or senior partner and be willing to personally guaranty the note.
Business Loan Fund Use:
Businesses can use CDR’s loan capital for the following items, but is not limited to:
Furniture & Fixtures
Business Loan Application
Personal Financial Statement
$20 Application Fee
History of the business
Resume or Management Summary of all principals
Copy of Photo I.D. & Social Security cards
Personal tax returns for the last 2 years
Business tax returns or financials (balance sheet and income statement) for the last 3 years
If not a U. S. Citizen- a copy of I-551 or I-94 card required
SBA Micro loans greater than $20,000 require documentation of a denial from another lender.
Any other documentation that may be required.
$20 Application fee for all loans.
$100 SBA Microloan annual voluntary contribution.
Real Estate closing - any fees charged by a third party service provider.
Interest Rates and Terms:
Rates and terms are based on project, collateral and amount. Interest rates are comparable to commercial lenders, while terms may be more flexible.
The rate on SBA loans under $10,000 is 8.50%; for loans $10,000 and over is 7.75%. All collateral pledged for loans made with SBA loan funds will become property of the SBA.
To apply for a loan simply open the application form, print it out, and return it to our office. OPEN APPLICATION FORM this opens PDF titled “LoanApplication2012.”
You will need adobe reader, which can be downloaded for free , to see and print out our loan application.