Economic Gardening Loan Program

Visit the Economic Gardening Loan Program online at www.bbif.com

To be eligible for assistance under the pilot program, a business must be a for-profit, privately held, investment-grade business that employs at least 10 persons but not more than 50 persons, has maintained its principal place of business in the state for at least the previous 2 years, generates at least $1 million but not more than $25 million in annual revenue, qualifies for the tax refund program for qualified target industry businesses under s. 288.106, and, during 3 of the previous 5 years, has increased both its number of full-time equivalent employees in this state and its gross revenues.

The following terms apply to a loan received under the pilot program:

• The maximum amount of the loan is $250,000.
• The proceeds of the loan may be used for working capital purchases, employee training, or salaries for newly created jobs in the state.
• The security interest for the loan's collateral covering all of the borrower's available corporate assets to cover the amount of the loan must be perfected by recording a lien under the Uniform Commercial Code.
• The period of the loan is 4 years.
• The interest rate of the loan is 2 percent. However, if the borrower does not create the projected number of jobs within the terms of the loan agreement, the interest rate shall be increased for the remaining period of the loan to the prime rate published in the Wall Street Journal, as of the date specified in the loan agreement, plus 4 percentage points. The loan agreement may provide flexibility in meeting the projected number of jobs for delays due to governmental regulatory issues, including, but not limited to, permitting.
• For the first 12 months of the loan, payment is due for interest only, payable during the twelfth month. Thereafter, payment for interest and principal is due each month until the loan is paid in full. Interest and principal payments are based on the unpaid balance of the total loan amount.