The scorecard below is used to evaluate Equity Loan applications. Click here to download the scorecard in PDF format >
The Equity Loan Program seeks to both provide access to capital for Verified Equity Applicants and achieve high repayment rates so funds can be relent to help more businesses be successful. In order to meet this dual outcome, Loan Applicants must undergo an assessment process (aka underwriting) where the loan application will be evaluated and scored based upon the point system below which takes into account both the applicant’s need for funds and their ability to repay the loan. This assessment process will result in the Loan Application “Equity Loan Assessment Score”.
In order to obtain a Loan, an application must receive a Equity Loan Assessment Score of at least 60 out of 100 points.
Loan Applicants can re-apply if their Loan Application does not receive the required minimum score.
There are 100 total points available.
| TOTAL AVAILABLE POINTS | 100 | ||
| 1 | Is the business 100 % owned by Equity Qualified Individuals? | 15 | |
| 2 | Does the Loan Applicant have at least one year of managerial work or volunteer experience that can be verified through a resume, reference, description in the business plan and/or company research? | 10 | |
| 3 | Do(es) the operating partner(s) have at least one year of managerial work or volunteer experience that can be verified through a resume, reference, description in the business plan and/or company research? | 7 | |
| 4 | Business plan completeness | ||
| a. | Did the Applicant provide a written explanation of how the funding will be used in line with industry standards? | 3 | |
| b. | Did the Applicant provide a budget in line with industry standards? | 6 | |
| c. | Did the Applicant answer each business plan question in line with industry standards? | 8 | |
| d. | Did the Applicant provide 12-month monthly projections for the first year of the business in line with industry standards? | 8 | |
| e. | Did the Applicant provide a certificate which shows that the verified equity applicant individuals completed the Oaksterdam Financial Literacy Course. | 3 | |
| Total for Business Plan Completeness | 28 | ||
| 5 | Verifiable business network | ||
| a. | Did the Applicant provide a current or future customer reference? | 3 | |
| b. | Did the Loan Applicant provide a current or future supplier reference? | 3 | |
| c. | Did the Loan Applicant provide a reference from someone they have worked previously (former boss, employee, partner, customer, volunteer relationship, Other – specify)? | 3 | |
| d. | Did the Loan Applicant list any current or future strategic or joint venture partnerships (specify)? | 3 | |
| e. | Did Loan Applicant provide a personal reference? | 3 | |
| f. | Did the Loan Applicant provide a reference from someone from whom they borrowed and repaid at least $1,000? | 3 | |
| Total for Verifiable Business Network | 18 | ||
| 6 | Track record | ||
| Did the Loan Applicant describe a project that they completed which produced a successful result or achieved a meaningful accomplishment (work, volunteer, other, specify)? | 12 | ||
| 7 | Business Investment | ||
| a. | Has the Loan Applicant invested in the business? | 5 | |
| b. | Does the Loan Applicant have partners that have already provided or are willing to provide capital to the business? | 5 | |
| Total for Business Investment | 10 | ||
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