Delaware Capital Access Program

The Delaware Access Program is designed to give banks a flexible and extremely non-bureaucratic tool to make business loans that are somewhat riskier than a conventional bank loan, in a manner consistent with safety and soundness. It is designed to use a small amount of public resources to generate a large amount of private bank financing, thus providing access to bank financing for many Delaware businesses that might otherwise not be able to obtain such access.

The Delaware Access Program is based on a risk-pooling concept. It is an approach that is fundamentally different from the traditional type of insurance or guarantee program, such as the Federal Small Business Administration 7(a) Program, which guarantees a percentage of a loan on a loan-by-loan basis.

When a bank makes a loan under the Program, the borrower pays a one-time premium charge, which is matched by a bank premium payment. DEDA then matches the combined total of the borrower's payment and the bank's payment. The borrower's premium payment is one of the terms of the loan to be worked out as part of the private transaction between the bank and the borrower.

Since the banks approve participation in the program, the most efficient method for starting the process is to contact any of the participating banks of your choice:

• Applied Bank, Delaware: Contact Nathan Edmunds at 302-326-4200 Ext. 29528
• WSFS Bank, Delaware: Contact Michael Skipper at 302-573-3259
• First State Community Loan Fund, Delaware: Vandell Hampton, Jr. at 302-652-6774
• PNC Bank
  Delaware Access Program Sales: Lisa Kennedy (610-725-5940)
  Delaware Access Program Administration: Jeff Doughty (317-267-7047) or Joe Keyler (317-267-7646)

For more details on the program, please contact dedo.finance@state.de.us.