Catalyst Fund Loans for Small Business

The Catalyst Fund’s goal is to provide access to capital to growth-oriented businesses that are in pre-banking stage. It helps businesses to bridge gaps in existing/available funding options. Loans are provided at market rate or below.

In addition, we now offer the new Collateral Assistance Fund available to Howard County businesses that assists companies to satisfy the collateral requirement to secure a catalyst loan.

What is the Catalyst Fund?

The Catalyst Fund, powered by the Howard County Economic Development Authority (HCEDA), is part of Maryland’s Video Lottery Terminal Small, Minority and Woman-Owned Business Account initiative. The fund is a locally managed source of capital used to finance start-ups and expanding businesses statewide whose projects will create permanent jobs and leverage private sector investment. Catalyst is a Revolving Loan Fund (RLF) as borrowers repay Catalyst Fund loans, the principal and interest payments are returned to the fund for lending to other businesses to create more jobs and investment opportunities.

If you’re interested in attending our next information session, contact us to be notified when registration opens.

What can I use the fund for?

Loan funds can be used for normal business uses such as working capital, equipment, real estate, franchise fees and inventory purchases. Loan amounts are always subject to availability of funds.

All Business Loan Requests Will Focus on the Character, Credit, Experience and Reliability of the Applicant. The Primary Considerations Are:

  • The likelihood that the projected cash flow will be sufficient to repay obligations
  • Willingness to pay debts, as indicated by a good credit history
  • The business has a good chance of achieving success with the requested financing
  • Availability of collateral to secure the loan. (The NEW Collateral Assistance Fund may be able to help)

I’m Interested. How Do I Proceed?

Step 1: In order to determine your eligibility and qualification to receive a Catalyst loan, please submit a Catalyst Interest Form to edaloans@hceda.org.

Step 2: In addition, all potential candidates must complete a Catalyst Online Application. Please attach the Catalyst Loan Application Form to answer question #6.

Step 3:  Once complete, submit the Application Form to the Director, Business Incentives Programs:

Email to:
Director, Business Incentives Programs

Mail to:
Director, Business Incentives Programs
6751 Columbia Gateway Dr. Suite 500
Columbia MD, 21046

Step 4: Immediately after application submission, submit non-refundable application fee of $300 at: www.PayPal.Me/HCEDA

For more information, contact the Director, Business Incentives Programs via email or by phone at 410.313.6550.