Intermediary Loan Program

 

Three year pilot program in which SBA made direct loans of up to $1 million at an interest rate of 1 percent to up to 20 nonprofit lending intermediaries each year, subject to the availability of funds. Term of ILP loans is for a maximum period of 20 years with deferred payments for the first two years. Intermediaries use the ILP loan funds to make loans of up to $200,000 to startup, newly established, or growing small business concerns. No small business (including affiliates) may have more than $200,000 outstanding under this program at one time.

General information about this opportunity
Last Known Status
Active
Program Number
59.062
Federal Agency/Office
Small Business Administration
Type(s) of Assistance Offered
E - Direct Loans
Program Accomplishments
Not applicable.
Authorization
Small Business Act, Section 7(l) (15 U.S.C. 636(l)), Title 13, Part 109, Section 1131, Public Law 111-240
Who is eligible to apply/benefit from this assistance?
Applicant Eligibility
Applicants to the pilot program were required to be a private nonprofit entity with not less than one year of experience of making loans to startups, newly established or growing small businesses. The applicant must have directly funded the loans and not simply provided referrals to loans made by another entity. If an applicant is made up of a consortium of organizations, each member of the consortium must be individually eligible. Intermediaries that participate in SBA's microloan program were not eligible to become ILP intermediaries. However, affiliates of microloan intermediaries may have applied. Refer to Federal Register Notice Vol. 76, No. 63, dated Friday, April 1, 2011 starting on page 18007 for additional information.
Beneficiary Eligibility
Not necessary
Credentials/Documentation
Generally applicants submitted an application which included financial statements, certificate of good standing, resumes of individuals associated with the organization, business plan, at least one year experience of making small business loans $50,000 to $200,000, documentation supporting non-profit status, and plan for distributing loan funds within two years.
What is the process for applying and being award this assistance?
Pre-Application Procedure
Preapplication coordination is not applicable.
Application Procedure
2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. This program is excluded from coverage under OMB Circular No. A-110.
Award Procedure
Refer to Federal Register Notice Vol. 76, No. 63, dated Friday, April 1, 2011 starting on page 18007.
Deadlines
Not applicable.
Approval/Disapproval Decision Time
Not applicable.
Appeals
Not applicable.
Renewals
Not applicable.
How are proposals selected?
This program is no longer accepting proposals. This program has not been funded since 2012. Information available at www.sba.gov
How may assistance be used?
Loans shall be made for startup, newly established, and growing small business concerns for working capital, real estate, and the acquisition of materials, supplies, furniture, fixtures, and equipment. $20 million was set aside for this program each in FY 2011 and FY 2012. Three year pilot program in which SBA made direct loans of up to $1 million at an interest rate of 1 percent of up to 20 nonprofit lending intermediaries each year, subject to the availability of funds. Term of loans is for a maximum period of 20 years with deferred payments for the first two years. No ILP loan was made to an eligible intermediary if the total amount of outstanding and committed to the eligible intermediary would, as a result of the loan, exceed $1 million during the participation of the eligible intermediary in the program.
What are the requirements after being awarded this opportunity?
Reporting
Performance Reports: Reports for any changes to the ILP's intermediary organization or financing.
Auditing
Each ILP must submit audited financial statement annually.
Records
Refer to Federal Register Notice Vol. 76, No. 63, dated Friday, April 1, 2011 starting on page 18007.
Other Assistance Considerations
Formula and Matching Requirements
Statutory Formula: Title Small Business Administration Chapter 13 Part 109 Public Law P.L. 111--240 Small Business Administration

Matching requirements are not applicable to this assistance listing.

MOE requirements are not applicable to this assistance listing.
Length and Time Phasing of Assistance
All funds must be disbursed within the first two years of award. Program was funded through FY 2012. Award is provided in not less than two installments with first installment not more than $500,000.
Who do I contact about this opportunity?
Regional or Local Office
See Appendix IV of the Catalog of Federal Domestic Assistance under Small Business Administration.
Headquarters Office
James Webb, Microenterprise Development Division
409 3rd Street, SW
8th Floor
Washington, DC, DC 20416 US
James.Webb@sba.gov
Phone: 202-619-0628
Website Address
http://www.sba.gov
Financial Information
Account Identification
73-1154-0-1-376
Obligations
(Direct Loans) FY 22$0.00; FY 23 est $0.00; FY 24 est $0.00; FY 21$0.00; FY 20$0.00; FY 19$0.00; FY 18 Estimate Not Available FY 16 Estimate Not Available FY 17 Estimate Not Available - 2015, 2016, 2017, and 2018 - Not applicable
Range and Average of Financial Assistance
$1 million each for 20 ILP's with average of $1 million
Regulations, Guidelines and Literature
See www.sba.gov
Examples of Funded Projects
Not applicable.

 



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