(1) The Oregon Business Development Department may approve an entrepreneurial development loan under ORS 285B.740 to 285B.758 if, after investigation, it finds that:\n(a) The loan has a reasonable prospect of repayment from cash flow and collateral and is secured by good and sufficient collateral; and\n(b) The applicant provides equity funds for the project in the form of cash or property in an amount equal to or greater than:\n(A) Fifteen percent of the amount of the project proceeds used for working capital and equipment; or\n(B) Ten percent of the amount of the project proceeds used to acquire real property.\n(2) The department shall determine the amount of the initial loan and any subsequent loan to a borrower from the Oregon Entrepreneurial Development Loan Fund. The total of all loans to any borrower from the fund may not exceed $1 million.\n(3) Entrepreneurial development loans shall be made for a term that does not exceed 10 years at a rate of interest that does not exceed 18 percent per annum. [1991 c.688 §9; 1997 c.147 §6; 2007 c.804 §39; 2009 c.830 §133; 2010 c.106 §§4,8; 2011 c.558 §5; 2014 c.3 §3; 2020 s.s.2 c.10 §§26,27; 2022 c.2 §4]
Oregon Legal Code