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OPEN'1! <br />TO 80ESS <br />Open to Business (OTB) <br />Loan Product Summary- Jan 2014 <br />Open to Business- a program of the Metropolitan Consortium of Community Developers- offers <br />direct lending and loan servicing as an enhancement to the entrepreneurial support services it <br />provides. Financing packages are available to both Start-up and Existing businesses, and <br />available for a variety of uses; including; acquisition, property, equipment, inventory and <br />working capital. Loan terms and limits vary by use, but can be very flexible in structure to meet <br />the needs of the individual business. Examples of the financing OTP can provide includes: <br />Loan Packaging/Facilitation <br />OTB staff can assist potential borrowers with the preparation of business plans, cash <br />flow and other financial projections and loan application materials. Our staff can assist <br />entrepreneurs in identifying borrowing needs and accessing community lending <br />programs that provide favorable terms and conditions for small business borrowers. <br />We work with our clients to help them find the financing that best meets their own <br />unique needs <br />Micro Loans <br />Direct loans from OTB for a variety of business purposes, including inventory, working <br />capital, asset and equipment purchases, and start-up costs. Typical loan terms of 3-5 <br />years, loan sizes up to $25,000 for retail/service businesses, or $50,000 for <br />manufacturing businesses. This program is targeted to start-up and early stage <br />businesses that cannot secure financing from traditional commercial lenders. <br />• Participation Financing <br />OTB loans in partnership with private lenders for physical improvements and hard <br />asset/equipment purchases. OTB can provide financing of up to 50% of a given project, <br />with interest rates and term generally set to match the Bank or other partner financing <br />entity. In most cases, OTB will subordinate collateral and repayment to the private <br />lender. Loan size and term vary from project to project, but can be from as little as <br />$5,000 to as much as $100,000 or more depending on use. <br />