Code of Maine Rules
94 - INDEPENDENT AGENCIES
457 - FINANCE AUTHORITY OF MAINE (FAME)
Chapter 303 - NATURAL DISASTER BUSINESS ASSISTANCE PROGRAM
Section 457-303-9 - COLLATERAL
Current through 2024-38, September 18, 2024
Repayment of any loan pursuant to the program shall be secured by the following:
A. A mortgage or security interest in real estate, buildings or personal property of the business endeavor, subject only to such other encumbrances, including priority, junior or coordinate liens, as the chief executive officer may approve.
B. Such other collateral as the chief executive officer may require, including without limitation, liens on real or personal property, assignments or pledges of leases, and personal or corporate guarantees.
C. Loans may, at the discretion of the chief executive officer, be secured by collateral valued for collateral purposes at less than the amount of the loan, provided that the borrower, its principals and any guarantors, are of good character and have good credit histories.
D. Real estate or stationary machinery or equipment constituting a significant portion of collateral for repayment of loan shall be located within the State. Mobile machinery or equipment, including vessels, constituting a significant portion of collateral for repayment of a loan shall be registered with and taxed by the State or municipal authorities, if the State or municipal authorities register or tax machinery or equipment of a type similar to the collateral, and shall be stored or berthed in the State when not in use.
