ELIGIBILITY REQUIREMENTS

Entrepreneurs/ Businesses Eligible for Support

Applicants for support from YBA must be:

  • 18 to 35 years of age
  • A US citizen or permanent legal US resident.
  • Recommended by two letters of recommendation.  These may come from one of our Community Partners, or someone such as a banker, employer, teacher or client who can provide an opinion on your readiness to start a business.  This letter should not come from a friend or anyone who may have a direct conflict of interest in the outcome of your loan decision.
  • A graduate or have successfully completed a business orientation course, training program offered by a YBA Community Partner or otherwise convince YBA that they have the business skills and technical competence to successfully execute their business plan and operate their business.
  • Prepared to present a viable business plan demonstrating how the required funds will be allocated, , the anticipated cash-flow, and the expected capability to make regular payments on the loan. Loan proceeds may not be used to refinance existing debts.
  • Willing and ready to work with a volunteer mentor, approved by YBA, whose role will be to provide ongoing guidance and support on a one-2-one basis (note, those seeking the support of a mentor only without a loan will be considered by YBA if there are sufficient mentors available)
  • Working, or intend to work, full time (35 hours or more per week) in their business. Students applying for support while still undertaking a course of study will be considered if they are in the final year of their course at university or college, and if they can demonstrate that the time they are expected to devote to their studies will not interfere with their ability to manage and organize their business affairs.
  • Qualifying Applicants must own at least 51% of the business being funded and serve as the operating manager(s).  Other owners not qualifying as applicants must be passive owners. Qualifying Applicants will be responsible for 100% of the loans made by YBA.

YBA will not discriminate on the basis of race, sex, color, religion, ethnicity, disability or any other factor. All applicants will be equally eligible provided they meet the above criteria and their (proposed) business meets the criteria below.

Businesses that YBA will support include:

  • YBA will provide funds to start a new business or to fund the development of an existing business which has been in full operations for two years or less.
  • Without exception, either the borrower(s) or the business must be based and operate from within a community where YBA has a program.  The business being funded and its Trade names, and legal entities etc. must be registered in the United States of America.

Businesses that YBA will not support:

  • Loan proceeds may not be used to support any business that is engaged in or associated with illegal activities, is exploitative or deemed to be detrimental to the core values of the communities it serves.
  • It is ultimately at YBA’s discretion to determine whether a business area is acceptable to YBA.

Additional  eligibility requirements may apply to loans funded from specific programs. Please check with YBA for these details.

 

The Loans described in this document are offered under Youth Business America’s California Financial Lender License Number 605 4353 issued by the Department of Corporations of the State of California. For information regarding Complaints or Enforcement Actions regarding the Licensee, contact the Department of Corporations by calling 1-866-275-2677, or visit their website at www.corp.ca.gov .