New York Codes, Rules and Regulations
Title 21 - Miscellaneous
Chapter L - New York State Urban Development Corporation
Part 4205 - Industrial Effectiveness Program-specialized Industrial Effectiveness Financial Assistance
Section 4205.8 - Terms for working capital loans to improve productivity and competitiveness
Current through Register Vol. 46, No. 12, March 20, 2024
(a) A project loan may not exceed $250,000 or 50 percent of the total project cost, whichever amount is less.
(b) The loan term shall not exceed three years.
(c) The UDC shall charge such interest rate as is necessary to make the project feasible.
(d) Preference shall be given to loans that are secured by fixed assets; however, security interests may be subordinate to the security interests on any other public or private financial assistance provided to the firm.
(e) The UDC may also defer payment of interest and/or principal on a loan based on a demonstration that deferral is necessary for the success of a working capital loan to improve productivity and competitiveness and that the firm will be able to handle the level of repayment when loan payments are resumed.
