VETOES

stylistic changes; adding certain qualifications for certain
enterprises and existing businesses; requiring the Authority
to submit a certain report to the General Assembly;
requiring an annual audit by the Department of Fiscal
Services; providing for the termination of this Act; and
generally relating to the Equity Participation Investment
Program.

BY repealing and reenacting, with amendments,

Article - Financial Institutions

Section 13-235, 13-236, 13-237, and 13-239 through 13-241

Annotated Code of Maryland

(1986 Replacement Volume and 1988 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - Financial Institutions

13-235.

(a)  In this section the following words have the meanings
indicated.

(b)  "Enterprise" means a business entity, including a sole
proprietorship, a partnership, a limited partnership, a
corporation, or a joint venture proposing to carry on a business
within the State and meeting the requirements of § 13-231 of this
subtitle.

(c)   "Equity participation financing" means any financial
assistance provided under the Program including investment or
guaranty of investment in an enterprise.

(D) "EXISTING BUSINESS" MEANS A BUSINESS WHOSE BOARD OF
DIRECTORS OR OWNERS APPROVE THE SALE OF THE BUSINESS TO AN
ENTERPRISE RECEIVING EQUITY PARTICIPATION FINANCING.

[(d)](E) "Franchise" means a contract or agreement and has
the meaning used in Article 56, § 345 of the Annotated Code.
"Franchise" includes only those franchise offerings that are
registered or exempt under the Maryland Franchise Investment Law,
Article 56, §§ 345 through 365D, of the Annotated Code.

[(e)](F) "Program" means the Equity Participation
Investment Program in the Maryland Small Business Development
Financing Authority.

[(f)](G) "Qualified security" means:

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