8.99.502    DEVELOPMENT LOAN - APPLICATION PROCESS

(1) The MBDC may apply for a development loan by submitting an application to the department on a form provided by the department. The application shall contain:

(a) a description of all outstanding notes payable and long term debt of the MBDC including copies of all loan agreements, promissory notes, and security agreements for said notes and long term debts;

(b) a copy of the most recent audited financial statements of the organization including if applicable, a supplemental schedule or other detailed information to specifically disclose the financial condition and results of operations of the MBDC;

(c) any other information deemed necessary by the department to evaluate the application.

(2) The department will review the application to determine if the application is complete under ARM 8.99.501 above. The department may, in its discretion, request the MBDC to provide additional information relevant to the evaluation of the applications.

(3) Loan awards will be made at the sole discretion of the department.

(4) Certified MBDCs that have an outstanding development loan principal balance may apply for additional development loan funds provided that:

(a) at least 80 percent of the certified MBDC's total outstanding principal balance of the development loan is currently loaned out to eligible microbusinesses;

(b) the outstanding microbusiness loan receivables of the certified MBDC's revolving loan fund are generally sound; and

(c) the MBDC is in compliance with all applicable statutes, administrative rules, and loan agreements with the department.

History: 17-6-406, MCA; IMP, 17-6-406, 17-6-407, MCA; NEW, 1992 MAR p. 42, Eff. 1/17/92; AMD, 2000 MAR p. 1045, Eff. 4/28/00; AMD, 2008 MAR p. 486, Eff. 3/14/08.