Frederick County Small Business Loan Fund

The FCSBLF provides another source of financing for existing and aspiring small business concerns in Frederick County, Maryland. It provides loans for growth-related expansion projects to existing businesses and provides funds for the purchase of real estate, machinery, equipment, inventory, working capital and renovation of real estate to start-up businesses (or those in business for less than two years). The business must be located in a Frederick County priority funding area. Priority funding areas cover most municipalities and major transportation corridors in the County. To access a map of the Frederick County Priority funding areas, click here, then click Priority Funding Areas.

Terms: Payback terms from 2 to 5 years

Interest Rate: Fixed, prime + up to 2.25

Loan Size: Minimum of $2,500 up to a maximum of $50,000

Equity Participation: Applicant is expected to contribute at least 15% of the project financing. In addition, funds must be secured by collateral, such as fixed assets or marketable securities.

Deadlines: FCSBLF Review Committee meets on a monthly basis. The deadline to apply is the first of each month, with the application being considered on the second Friday of the following month.

Application Fee: $200.00 (non refundable)

Documents Required:

• Personal Financial Statement
• Last Two Years of Tax Returns, Personal if Business Ownership is too new
• Business Plan and 3 years of Financial Projections
• Three Years of Historical Financial Statements (existing businesses only)
• Economic Development Goals (Economic Indicators)
• Documents that Establish Business Entity
• Certification of Good Standing from State Dept. of Assessments and Taxation
• Personal and Employer Information (all applicants/co-applicants must complete)
• Signed Release for Consumer Credit Check (all applicants/co-applicants must complete)

Educational Component: Applicant will be required to work with a mentor or attend classes to upgrade business skills if necessary.

Repayment: Check must accompany required “Post-Loan Checklist” detailing sales revenues, inventory levels, employee numbers, markets serviced, cash flow status, space/location plans and any outstanding problems.

To access the Small Business Loan Fund forms and administrative guidelines, click here.

For additional information related to the Frederick County Small Business Loan Fund, please contact Chris Olson at 301-600-1967.