PARRIS N. GLENDENING, Governor

Ch. 570

(2)     As determined from creditors, employers, and other individuals who
have personal knowledge of the applicant, the applicant has a reputation for financial
responsibility;

(3)     The applicant is a resident of Maryland or the applicant's principal place
of business is in Maryland; and

(4)     The applicant is unable to obtain adequate business financing on
reasonable terms through normal lending channels because the applicant:

(i) Belongs to a group that historically has been deprived of access to
normal economic or financial resources because of race, color, creed, sex, religion, or
national origin;

(ii) Has an identifiable physical handicap that severely limits the
ability of the applicant to obtain financial assistance, but does not limit the ability of the
applicant to perform the contract or other activity for which the applicant would be
receiving financial assistance; or

(iii) Has any other social or economic impediment that is beyond the
personal control of the applicant, such as lack of formal education or financial capacity or
geographical or regional economic distress but that does not limit the ability of the
applicant to perform the contract or other activity for which the applicant would be
receiving financial assistance.

(c) If the applicant is other than a sole proprietorship, at least 70 percent of the
business enterprise shall be owned by individuals who meet the qualifications for
applicants under subsection (b) of this section.

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, 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 [§ 5-1025] SUBSECTIONS (F) AND (G) of this [subtitle] 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:

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