Credit Repair Franchises
The USDA Business and Industry (B & I) loan program is designed to improve business, industry, employment and economic climate global environmental and rural communities. In an effort to ease the credit crunch on Main Street, Recovery and Reinvestment Act (ARRA), aims boost existing B & I program to encourage lenders to participate.
ARRA provides several B & I program enhancements that are available to September 30, 2010:
 • 1.7 billion U.S. dollars of new loans to rural enterprises can be guaranteed. This adds to the amount the budget 2010 and equal to about twice the annual level of B & I spent the activity.
 • B & I-ARRA funding will be approved as requested a core group of the National Office to avoid potentially inadequate state appropriations of funds.
 • The B & I guarantee fee is reduced of 2% to 1%.
 • The annual renewal fee of  ¼% is eliminated.
Interests • 90% are available in the "loans high priority "of up to $ 10 million
"Loans high priority," who are eligible for a 90% score at least 55
points in the B & I scoring system. Overall, a loan is considered "high priority" if it provides "employment quality "and is in a" distressed community ":
 • One company provides "quality jobs" is met one of the following criteria:
or paying an average wage rate that exceeds 125% of federal minimum wage or at least $ 9.07 per hour.
or skills within the framework Labor Program Opportunity Tax Credit
offers a package of benefits or medical care to all employees, with at least 50% of the premium paid by the employer,
 • A company is considered in a community "distressed" if the area experiences one of the following:
or emigration: the loss population of each decade over the past 40 years
or Persistent poverty: 20% poverty or more in the last 30 years
The high unemployment: more than 125% of the national unemployment rate
or underserved area or underrepresented Group: Zone that has not historically benefited from B & I assistance or a minority or women-owned businesses
If a company is not a community in distress and / or provide quality jobs, the project still may be eligible for B & I-funding ARRA less than a 90%.
Along with benefits, B & I-ARRA provides additional funding requirements:
 • Buy American: Projects for the construction, alteration, repair or maintenance of a public building or public work must use American iron, steel and manufactured products
 • Vehicles: The vehicles financed must be manufactured in the U.S.
 • Davis Bacon: For loans in which more than $ 2,000 was allocated for the construction, alteration or repair, laborers and mechanics must be paid prevailing wages in accordance with the Davis Bacon Act,
 • Eligible projects:
zoos or
aquariums or
or convenience stores (unless the creation of quality jobs and will sell E85 fuel, upon completion)
pools or
or water parks
o Hotels and motels with pools / water parks
or golf courses
Museums or
casinos or gambling establishments or other
Apart from these restrictions, the program works like the B & I guaranteed
loan program. In addition, any project that meets the standards of B & I, but not eligible ARRA additional can still be approved as a B & I loan scheduled statewide.
As a closing attorney, Ms. Johnson reviews SBA, USDA and conventional loan files, confers with loan processors and in-house counsel, drafts, analyzes and negotiates loan documents, and advises on franchise issues, 401(k) guaranty waivers and guaranty purchase matters.
Ms. Johnson is admitted to practice before the Supreme Court of Pennsylvania. She is a member of the American Bar Association, the Pennsylvania Bar Association, the National Association of Government Guaranteed Lenders (NAGGL) and the Independent Community Bankers Association (ICBA).
Credit Repair Franchise Opportunity
