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Guidelines for all
loan programs:
- A business plan is usually required, especially
on the larger loan requests of $20,000 or more.
- Applicants
must demonstrate that a financing gap exists, and that
the bank is unable to fund the entire project.
- A personal guarantee
is always required.
- The project must demonstrate sound management
ability and the likelihood of success must be very high.
- An
assignment of life insurance from the principal borrower
is usually required.
- Applicant must have a satisfactory credit
history.
- Cash flow projections and collateral
values must be provided that demonstrate the repayment
ability of
the business.
Projects not eligible for loan programs:
- Debt
refinancing is not an eligible purpose for the loan funds.
- Real
estate development, primarily non-owner occupied.
- Agricultural
production.
- Bars, restaurants, gaming establishments or amusement
centers.
- Newspapers, media or entertainment businesses.
- Retail
or service businesses that, in WCI’s judgment,
are unduly competitive with existing businesses in their
trade area.
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