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The ITC Telecom Economic Development Revolving Loan Fund Program is providing low interest loans, in conjunction with the federal government, to assist in the economic development of rural communities. ITC Telecom and You--working together into the future, for the future!
In 2000, the ITC Telecom Economic Development Revolving Loan Fund Program was established. This program, provides low interest loans to businesses and communities for the purpose of adding value, employment and rural community opportunities. Proposals may include healthcare, environmental, educational and safety projects.
Consideration is given to the proposed project on the basis that it will provide opportunities to the residents and communities to improve the quality of life and reduce economic adversity. The cooperative's Loan Fund Committee will be responsible for the initial review of each loan application. For more information contact Todd Morris via e-mail, or at 1-800-417-8667!
General Criteria
- All applicants must be able to provide assurance to ITC Telecom Economic Development Revolving Loan Fund of willingness and ability repay.
- The community/area in which the project will be located must be receptive to the project.
- The size of the loan available with ITC Telecom Economic Development Revolving Loan Fund participation must be sufficient to substantially assist the business.
- Businesses must create jobs or be of direct benefit to the community.
Application and Approval Process
- Loan applications are available through various financial institutions and ITC Telecom.
- Applicants must submit a completed application from including supporting credentials as stated on the application form.
- Projects must demonstrate business development, job creation/growth or community/regional benefit.
- An application review and analysis includes a credit analysis of the project, a credit check on the borrower, documentation of claims regarding job creation and community benefit and review of collateral and repayment ability.
- A summary loan report is presented to the cooperative's Loan Fund Committee. Final approval will be determined by the ITC Board of Directors.
Ineligible Projects
- Funds for speculative purposes or real estate speculation.
- Funds for rental real estate unless the owner occupies over one half of the space.
- Projects which will cause excess competition. For example, a hardware store in a town of 250 people that already has a viable hardware store.
- Projects that are considered by the community morally improper. For example, gambling activities.
- Relocation other than for sound business purposes; or which will result solely in a transfer of employment from one location to another.
- Businesses that do not meet environmental guidelines.
- Loans which are determined to be in conflict of interest with the ITC Telecom Economic Development Revolving Loan Fund.
Lending Priority
- Job retention and creation.
- Payroll retention and creation.
- Existing businesses with a positive history.
- Business offering strong personal and collateral guarantees.
- Projects in which the borrower(s) has previous similar business experience.
Equal Credit Opportunity Lender
ITC Telecom Economic Development Revolving Loan Fund will not discriminate against any applicant in any aspect of a credit transaction on the basis of race, color, religion, national origin, sex, martial status, disability or age provided that applicant has the capacity to enter into a biding contract. The ITC Telecom Economic Development Revolving Loan Fund will not discriminate against any applicant on the basis of the fact that all or part of the applicant's income derives from any public assistance program or the fact that the applicant has in good faith exercised any right under the Consumer Credit Protection Act or under law of any state which has been exempted form requirement of the Equal Credit Opportunity Act. These requirements apply to every aspect of the credit transaction and include business, commercial and agricultural financing as well as consumer credit. All persons involved in credit decisions or accepting credit applications should be familiar with these nine prohibited bases of discrimination. (reference Federal Compliance Handbook, Sect 1.1)
This web site is not intended to be all inclusive. The entire program and accompanying details are available from ITC Telecom.
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