6.2 EDSR 04-17-2017 - Laserfiche WebLink

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A loan shall become due and payable in full if a business relocates outside of the city of Elk River prior to the maturity date of the loan. Late Payment Charge A late payment charge of 8% of the installment amount will be en grace period of 10 calendar days. REGULATION FOR NEW CONSTRUCTION AND IMPROVEMENTS All buildings which public funds will be used for construction onovation are to be brought into conformance with city ordinances and state building codes. LOAN SECURITY AND GUARANTEES Applicant must be able to secure the loan by providing the EDA with a minimum of a subordinate mortgage upon the building and/or assets or other approved colla loan. Applicant must demonstrate the financial means to repay the loan Whenever possible, personal, corporate, and/or entity guarantees will be agreement. Key person life insurance may be required as determined by the E loan amount and company ownership partners. TIMING OF PROJECT EXPENSES No project should commence until the EDA has approved the loan a prior to the approval of the loan application are not eligible e No building construction should commence until the required city are secured. The applicant will be responsible for all legal, recording, and security interest in the loan, payable by a $2,000 processing fe application. In addition to the processing fee, all legal and filing fees shall be paid by the borrower at loan closing. Closing of the Microloan should be simultaneous with the borrowe should be given two weeks notice before closing. PROCEDURAL GUIDELINES FOR APPLICATION AND APPROVAL 1.All applicants shall first contact a primary lending institution equity is needed, and if so, how much (if applicable). 2.The applicant shall then meet with city staff to obtain informat program, discuss the project, and obtain application forms. 3.The applicant shall complete and submit an application form to t $2,000 processing fee. The fee is used to cover processing expenses and any remain 5