Loan Program Overview
In November 2020, the City of Sacramento established the Cannabis Opportunity Reinvestment and Equity (CORE) Capital program. CORE Capital is an interest-free, six-year term revolving loan program funded through a $3.83 million local equity grant fund awarded to the City by the Governor’s Office of Business and Economic Development (GO-Biz). Most importantly, loan repayment funds will be made available for loans to future CORE participants for their cannabis businesses.
For additional information, please see the section titled “CORE CAPITAL BACKGROUND”.
CORE participants can apply for up to $150,000 in loan funding (“Loan Applicant”), including previous CORE Capital loans and Reimbursement funding, according to the Initial and Follow-on loan specifications described below. CORE Capital maximum loan amounts will be reviewed on a continuous basis and changes will be made based upon CORE participant demands as well as the remaining loan funds that have not been disbursed at the time of review. Initial and Follow-on loan specifications include:
Maximum Aggregate Loans: A Verified CORE individual can apply for $50,000 per Leased or Owned Location for up to an aggregate amount totaling $125,000 for all loans outstanding. Verified CORE businesses (businesses with 51% or more CORE ownership) can apply for up to $250,000 in aggregate loans per Leased or Owned
Location, provided that one or more of the CORE individuals owning the CORE business is a signatory to the lease or owns the property.
Loan repayments are to be made as follows: