Float Loans

Float Loan Overview

PathStone Enterprise Center, Inc. preliminary stipulations for float loan (subject to change at any time)

WHO: Existing businesses who provide goods and services on a contract basis

WHAT: Increase capacity to mobilize and bid on jobs

HOW: One lump sum upfront (less applicable fees) to cover payroll, materials and job related

machinery and equipment costs. There are 2 options for repayment

Repayment period up to 6 months or up to 12 months

Standard PECI interest rates apply

2% commitment fee shall be paid to lender from loan’s proceeds

• Loans up to $50,000 based on percentage of contract amount and business experience
• Uses: payroll, materials, job specific machinery and equipment
• Pre-approval required. Pre-approval expires December 31 of each year. Businesses are encouraged to apply for renewal in January or as soon as possible.
• After repayment, borrower may draw additional loan funds during calendar year without submitting a new application.

Pre-approval Package and Disbursement Requirements include

• Completed application and $100 non-refundable fee
• Personal financial statement
• Proof of work: contracts, letter of understanding
• Completed projects report plus work-in-progress schedule for construction contractors
• 3 years of personal tax returns
• 3 years of business tax returns and financial statements if applicable
• Insurance: commercial work policy (NOT handyman), Worker’s comp, liability

Credit Score: No minimum credit score required.

Other Fees: Attorney closing cost fees plus expenses if applicable.