Revolving Loan Programs Businesses

Revolving Loan Programs

Program Description

The City of Martinsville has a small revolving loan fund. 


Area of Operation

The Revolving Loan Fund program will operate within the boundaries of Martinsville city limits.

Types of Financing
Please contact Wayne Knox, Loan Administrator for more details at 276-403-5169.


Eligibility Requirements

  • Provide proof that the business or building is located and has a permanent physical address in the project area.
  • Provide proof of collateral. Assets used as collateral may include cash, land, buildings, or equipment. Proof of hazard insurance in sufficient amount to protect the collateralized asset may be required.
  • Provide proof of equity interest in business or building.
  • Provide a business plan.
  • Demonstrate the one full-time LMI equivalent job will be created or retained for every $15,000 borrowed from the Revolving Loan Fund.
  • Provide verification of employment of LMI individual(s). The Virginia Employment Commission or an authorized organization will screen, qualify, and record all job applicants for this program.
  • Provide self-certified, household income eligibility documentation of employee(s) for LMI classification 

Application Process

  • Completed and signed application including:
    • Loan Request Worksheet
    • Personal Financial Statements
    • Credit Authorization Form
    • Tax Returns (two fiscal years)
    • Disclosure Statement(s)
    • Balance Sheet, Profit & Loss Statement (AP & AR for current 90 day period)
    • Business lease/deed
  • Current three year business plan and management resumes
  • Current eighteen month financial projections (including P & L, cash flow, owner compensation)
  • Personal credit report (as appropriate)
  • Three business references
  • Copy of collateral offered and current market value (title, deed, security paper, etc.)
  • Statement indicating what the loan will be used for

Uses:

  • Building and land acquisition
  • Leasehold and site improvements
  • New construction
  • Rehabilitation costs
  • Purchase of fixtures, machinery, and equipment and associated installation costs