Small Business Loans Without a Bank

The UEZ offers small businesses two (2) different loan programs that don’t require a bank. The loans are for existing businesses but are not offered for refinancing purposes. All applicants must be certified UEZ businesses and all loans must be utilized for UEZ purposes.

Micro Loans $2,000 to $20,000
UEZ Micro Loans are offered in a minimum amount of $2,000 and a maximum of $20,000. Within this range, loans for the acquisition of inventory, equipment and fixtures may be made for up to $10,000. Micro Loans above $10,000 will only be made for capital improvements.

The Micro Loan Program provides for two (2) alternative payment terms. There is no prepayment penalty. A three (3) year term loan will bear interest in the amount of 3%. A five (5) year term loan will bear interest in the amount of 5%.

To be eligible, the borrower must be a certified UEZ business. Alternatively, the applicant may be a property owner with a commercial property located in the zone.

The Micro Loan Program does not require real estate collateral. The Micro Loans may be secured by personal and/or business guarantees.

Non-Participating Loans Over $20,000

The UEZ may offer loans in excess of $20,000 without the participation of a commercial lender. These loans are subject to the underwriting requirements and collateral requirements of the loan program in which commercial lenders participate. The only difference in regard to these loans in excess of $20,000 is that the UEZ provides the full amount of funding. All other credit, collateral and security provisions of the Loan Program remain the same.

Loan Application Fees

The Non-Participating Loan Program requires a non-refundable loan application fee. For loans up to $15,000, the application fee is $100 plus 1/2 of 1% of the loan amount. For loans in excess of $15,000, the loan application fee is $200 plus 1/2 of 1% of the loan amount. The UEZ Participation Loan application fee is 1% of the loan amount, not to exceed $500.