Section 103.26 - What must the borrower supply the lender in its loan application?The lender may use any form of loan application it chooses. However, the borrower must supply the lender the information listed in this section in order for BIA to process a guaranty or insurance coverage application:
(a) The borrower's precise legal name, address, and tax identification number or social security number;(b) Proof of the borrower's eligibility under the Program;(c) A statement signed by the borrower, indicating that it is not delinquent on any Federal tax or other debt obligation;(d) The borrower's business plan, including resumes of all principals and a detailed discussion of the product or service to be offered, market factors, the borrower's marketing strategy, and any technical assistance the borrower may require;(e) A detailed description of the borrower's equity in the business being financed, including the method(s) of valuation;(f) The borrower's balance sheets and operating statements for the preceding 3 years, or so much of that period that the borrower has been in business;(g) The borrower's current financial statement, and the financial statements of all co-makers and guarantors of the loan (other than BIA);(h) At least 3 years of financial projections for the borrower's business, consisting of pro-forma balance sheets, operating statements, and cash flow statements;(i) A detailed list of all proposed collateral for the loan, including asset values and the method(s) of valuation;(j) A detailed list of all proposed hazard, liability, key man life, and other kinds of insurance the borrower will maintain on its business assets and operations;(k) If any significant portion of the loan will be used to finance construction, renovation, or demolition work: (1) Written quotes for the work from established and reputable contractors; and(2) To the extent available, copies of all construction and architectural contracts for the work, plans and specifications, and applicable building permits;(l) If the borrower is a tribe or a tribal enterprise, resolutions by the tribe and proof of authority under tribal law permitting the borrower to borrow the loan amount and offer the proposed loan collateral; and(m) If the borrower is a business entity, resolutions by the appropriate governing officials and proof of authority under its organizing documents permitting the borrower to borrow the loan amount and offer the proposed loan collateral.