13 CFR 123.702 - What are the eligibility requirements for an IDAP loan?
(a) Eligible IDAP applicants. To be eligible for an IDAP loan, an applicant business must meet all of the requirements set forth below. The applicant business must:
(i) For a Major Disaster Declaration, if located in a Primary County, have sustained damage to real or business personal property in the Declared Disaster or, if located in a Primary or Contiguous County, have sustained Substantial Economic Injury as a direct result of the Declared Disaster; or
(ii) For an SBA Administrative Disaster Declaration, have sustained damage to real or business personal property in the Declared Disaster or sustained Substantial Economic Injury as a direct result of the Declared Disaster; or
(iii) For an SBA EIDL-Only Disaster Declaration, have sustained Substantial Economic Injury as a direct result of the Declared Disaster;
(3) Have been a small business concern under the size requirements applicable to disaster loan assistance underpart 121 of this chapter (including affiliates) when the Declared Disaster commenced;
(5) Apply to SBA for a Disaster Loan within the applicable deadline and before any disbursement of the IDAP loan; and
(2) A business that was not a small business concern under the size requirements ofpart 121 of this chapter (including affiliates) when the Declared Disaster commenced;
(4) Deriving more than one-third of gross annual revenue from legal gambling activities or a business whose purpose for being is gambling regardless of its ability to meet the one-third criteria established for otherwise eligible concerns;
(5) A loan packager which earns more than one-third of its gross annual revenue from packaging SBA loans;
(6) Principally engaged in teaching, instructing, counseling, or indoctrinating religion or religious beliefs, whether in a religious or secular setting;
(8) A private club or business that limits the number of memberships for reasons other than capacity;
(9) Presents live performances of a prurient sexual nature or derives directly or indirectly more thande minimis gross revenue through the sale of products or services, or the presentation of any depictions or displays, of a prurient sexual nature;
(10) Engaged in the production or distribution of any product or service that has been determined to be obscene by a court;
(12) A government owned entity (except for a business owned or controlled by a Native American tribe);
(13) A business in which the IDAP Lender or any of its Associates (as defined in§ 120.10) owns an equity interest;
(14) Primarily engaged in subdividing real property into lots and developing it for resale on its own account;
(15) Engaged in lending, multi-level sales distribution, speculation, or investment (except for real estate investment with property held for rental when the Declared Disaster occurred);
(16) Delinquent on any Federal obligation, including but not limited to any Federal loans, contracts, grants, student loans or taxes, or has a judgment lien for a Federal debt against its property;
(17) Located in a Special Flood Hazard Area (SFHA), as designated by the Federal Emergency Management Agency, and has not maintained required flood insurance on its business property (regardless of the type of disaster);
(19) Located in a building that was newly constructed or substantially improved on or after February 9, 1989, and is currently located seaward of mean high tide or entirely in or over water;
(21) A business that had a substantial change of ownership (more than 50 percent) after the Declared Disaster and no contract of sale existed prior to that time;
(24) Primarily engaged in the production of food and fiber, ranching and raising of livestock, aquaculture and all other farming and agriculture-related industries (except for a nursery deriving less than 50 percent of annual receipts from the production and sale of ornamental plants and other nursery products, a small agricultural cooperative or a small producer cooperative); or
(25) A sole proprietorship, unincorporated association, partnership orlimited liability company in which a Member of Congress (or a household member) has an ownership interest.
(c) Character requirements. An applicant business is not eligible for an IDAP loan if any Associate (as defined in § 120.10) of the applicant business:
(2) Has ever been charged with, arrested for, convicted, placed on pretrial diversion, and/or placed on any form of probation (including adjudication withheld pending probation) for any criminal offense other than a minor motor vehicle violation (including offenses which have been dismissed, discharged, or not prosecuted);
(3) Is at least a 50 percent or more owner of applicant business, and is more than 60 days delinquent on any obligation to pay child support arising under an administrative order, court order, repayment agreement between the holder and a custodial parent, or repayment agreement between the holder and a state agency providing child support enforcement services;
Title 13 published on 2015-01-01.
No entries appear in the Federal Register after this date, for 13 CFR Part 123.