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Ch. 228 2005 LAWS OF MARYLAND
(4) Provide and pay for any advisory services and technical assistance
necessary or desirable to carry out the purposes of the Program.
5-1046.
(a) Under the Program, the Authority may provide equity participation
financing, including the purchase of qualified securities issued by a franchise, by a
technology-based business, or by an enterprise acquiring an existing business, only
after the enterprise has submitted an application that contains a business plan,
including:
(1) A description of the franchisor, technology-based business, OTHER
BUSINESS, or existing business and its management, product, and market;
(2) A statement of the amount, immediacy of need, and projected use of
the capital required;
(3) A statement of the potential economic impact of the purchase;
(4) Information that relates to the satisfaction of the applicant's
requirements of subsections (f) and (g) of this section; and
(5) Any other information the Authority requires.
(b) Under the Program, any equity participation financing shall satisfy the
following requirements:
(1) The Authority may not:
(i) 1. Own securities representing more than 45 percent of the
voting stock of any [franchise or] FRANCHISE, technology-based business, OR OTHER
BUSINESS; or
2. Own an interest greater than 45 percent in any [franchise
or] FRANCHISE, technology-based business, OR OTHER BUSINESS; or
(ii) 1. Own securities representing more than 25 percent of the
voting stock of any enterprise acquiring an existing business; or
2. Own an interest greater than 25 percent in any enterprise
acquiring an existing business.
(2) The amount of the Authority's equity participation financing may not
exceed:
(i) 1. [$500,000] $1,000,000 for any franchise; or
2. 45 percent of the total initial investment in the franchise;
(ii) 1. [$500,000] $1,000,000 for any enterprise acquiring an
existing business; or
2. 25 percent of the total investment in the enterprise
acquiring an existing business; or
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