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2.0. EDSR 11-20-1995
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2.0. EDSR 11-20-1995
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City Government
type
EDSR
date
11/20/1995
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• Project Financing <br /> The request for financing assistance is to help Internet Five purchase <br /> equipment, fund software development, and to secure necessary working <br /> capital needed to market its service. These costs are estimated at $180,800 <br /> and are broken down as follows: <br /> Technology Set-up $ 25,000 <br /> Equipment <br /> Tricord Server $ 31,800 <br /> Computer Equipment $ 17,000 <br /> Software $ 12,000 <br /> Office Equipment $ 10,000 <br /> Working Capital $ 85.000 <br /> $180,800 <br /> Sources of financing for this equipment are broken down as follows: <br /> Amount % of Project <br /> SBA Low Doc Loan <br /> • via Primary Lender $ 50,000 27.65% <br /> Applicant Equity $ 55,800 30.87% <br /> EDA Micro Loan $ 37,500 20.74% <br /> Central Minnesota <br /> Initiative Fund $ 37.500 20.74% <br /> $180,800 100% <br /> Loan repayments are proposed as follows: <br /> Source Term Interest Rate Security <br /> Primary Lender 5 years 11% Lien on Equipment <br /> EDA Micro Loan 5 years 8.75% (prime) Lease Hold/Accounts <br /> Receivable <br /> Central Minnesota 8.75% (prime)* Second Lien on <br /> Initiative Fund 5 years Equipment/Accounts <br /> Receivable <br /> *Assumed Rate <br /> • <br />
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