Loan Programs

Maximum Loan Amount:

$100,000

Interest Rate:

Except in certain extenuating circumstances, as determined at Essential Capital's sole discretion, the interest rate payable on all loans shall be not less than 10% per annum.

Eligibility Decision:

JSEB Certified or DBE Certified under the City of Jacksonville's "Small and Emerging Business Program"

Start-up businesses are not eligible to apply for the Capital Access Program. It is recommended that a business have at least two years of past history before applying.

Funds are not available for contract mobilization; equipment purchases or other long-term uses; refinance of existing debt; payment of non-current taxes; distributions or other payments to stockholders.

Term:

Normally covers the term of the underlying contract with the City of Jacksonville, or related agency of City Government; i.e., JEA, JTA, JIA, and JPA. One or more renewals may be requested.

Turnaround Time:

72 hours, subject to receipt of a completed loan application and the attending borrower financial information.

Forms:

Completed loan application may be forwarded to Essential Capital for review. Information to be included with application:

1. Business and personal financial statements (3 years)
2. Business and personal income tax returns (3 years)
3. Cash flow projections (term of loan)
4. Accounts receivable and accounts payable
5. Company profile
6. Personal Financial Statement
7. Certification that all taxes are current
8. Resume of all principals
9. Current (within 90 days) business balance sheet and profit and loss statement
10. Schedule of existing business debt
11. Copy of contract with City of Jacksonville, or agency of City Government

Collateral:

From Accounts Receivable arising from contracts or subcontracts with the City of Jacksonville, agency of City Government being financed

Credit Decision:

$10m - $35m     Loan Officer + Senior Underwriter

$36m - $75m     Senior Underwriter + President & CEO

$76m - $100m   Loan Committee

Purchase and Repayment:

Funds may be borrowed against each invoice of the contract(s) being financed. Repayment occurs as the project owner or prime contractor pays the invoice. The payment is made jointly to the borrower and to Essential Capital, which repays the amount borrowed against the invoice, plus and accrued but unpaid interest and fee. The balance will be forwarded to the borrower.