Line-of-credit to Term Loan

About the Program

1.	CAPEX employs CDA participating, guaranteed or direct loans to fund the cost of capital expenditures:
	Above the client’s ability to fund internally Above bank’s underwriting comfort level
2.	Can be coupled with loans or investments from others public- or private-sector sources

Loan Terms

1.	Personal guarantee of owner(s)
2.	CDA assistance up to $20,000 per job created or retained
3.	Debt service capability is evident

Benefits to Lender

1.	Retain existing or establish new commercial lending relationship
2.	Lending risk reduced by amount of CDA participation
3.	One closing for line-of-credit and term-loan
4.	Blended interest rates available

Benefits to Borrower

1.	Access to loan that is otherwise unavailable
2.	Extended maturity
3.	Draw downs permitted during first 12 months
4.	No repayment penalties

Borrower's Process

1.	Discuss the transaction opportunity with your commercial lender
2.	Commercial lender will submit application, business plan, historic and projected financial and/or lender's credit analysis to CDA loan officer

Lender's Process

1.	Determine amount of required credit enhancement
2.	Discuss the transaction opportunity with a CDA loan officer
3.	Submit lender's credit analysis to CDA loan officer
4.	Upon CDA Board approval, establish CAPEX Line-of-Credit-to-Term Loan

CDA Process

1.	Flash response with 2-3 days following lender's exploratory contact
2.	Staff review in 4-7 days following receipt of appropriate documentation
3.	Submit final documentation the 1st day of the month
4.	Transactions submitted to CDA's Board of Directors monthly

CDA Officers

Contact:
Stephen J. Benedetto 860.258.7838	Brien T. Day 860.258.7831
P. Joseph Harpie 860.258.7832	Robert A. Phelon 860.258.7836

See our CDA Lending Partners.

For additional information on all CDA programs Contact CDA by email..

Helpful Documents:
Personal Financial Statement
Comprehensive Business Plan Outline
Financing Business Plan Outline