Video Lottery Terminal Fund (VLT)
Corner Tavern and Cafe “With little resources to execute my new plans for the cafe, I was referred to the Tri-County Council for Western Maryland. Not only did the staff help me to secure funding for the project through the SLoT Program, they also connected me with their Small Business Development Center, which helped strengthen the original business concept.” Greg Bender, Owner
Corner Tavern and Café, located in Cumberland, MD, is a café and bar focusing on craft coffee, craft beer and cocktails, as well as café style food using local and regional brewers, distillers, and farms. The company’s mission is to provide their customers with well-crafted and unique offerings while also supporting and sustaining other small businesses that contribute to the economic growth of the region.
What Maryland’s casinos are doing to help. The Maryland Department of Commerce has a team of eight experienced Fund Managers to help small businesses gain access to capital utilizing the Small, Minority, Women-Owned Businesses Account Video Lottery Terminal Funds. Created with the small business owner in mind, the state’s Video Lottery Terminal (VLT) Fund uses proceeds from video lottery terminals (slots) to assist small, minority, and women owned businesses located in targeted areas surrounding six Maryland casinos: • Maryland Live, Anne Arundel County • Hollywood Casino Perryville, Cecil County • Rocky Gap, Allegany County • Ocean Downs, Worcester County • Horseshoe Casino, Baltimore City • National Harbor, Prince George’s County At least 50% of the VLT allocations will be deployed to small, minority and women-owned businesses located within a target area of the six casinos. The other 50% will be available to small, minority and women-owned businesses located throughout Maryland. The allocations may be used for business acquisition and expansion, owner occupied commercial real estate, lease-hold improvements, purchase of equipment, start-up costs, working capital, professional/technical assistance, and refinancing of existing debt under certain circumstances.
“We cannot thank the team at Tri-County Council for Western Maryland enough. Without their support True Respite Brewing Company would not exist. Thank you and cheers!” Bailey O’Leary, Co-Founder
True Respite Brewing Company True Respite Brewing Company, located in Rockville, MD, operates a 3 vessel, 15-barrel brew house with the capacity of nearly 2,000 barrels per year. Established in 2018, the company packages its product in kegs and cans and also offers craft beers in their Tap Room. In addition, many of the flavors of beer can be found in bars, restaurants, and package stores throughout Maryland, Delaware, and Washington, DC. During the summer of 2020 they also started providing home-based delivery service. The company is constantly developing new recipes and regularly partners with local food trucks, restaurants and other local businesses providing food and events to their tap room patrons. Community groups can use brewery space for meetings and gatherings and enjoy tours of the brewery.
Video Lottery Terminal (VLT) Funds Fund Manager Anne Arundel County Economic Development Corporation
Fund Name VOLT Fund
Stephen Primosch, Vice President Financial Services 2660 Riva Road, Suite 200 Annapolis, MD 21401 410-222-7410
Baltimore Development Corporation Jeffrey P. Pillas, Vice President & CFO 36 S. Charles Street, Suite 2100 Baltimore, MD 21201 410-837-9305
Baltimore County Economic Development
Video Lottery Terminal Revolving Loan Fund
Boost Fund
Stanley Jacobs, Chief Lending Officer c/o Department of Economic and Workforce Development 400 Washington Avenue, Suite 100 Towson, MD. 21204 410-887-8000
FSC First Dawn R. Medley, Vice President Business Finance Programs 1801 McCormick Drive Suite 300 Largo, MD 20774 301-883-6900
Howard County Economic Development Authority
VLT Small Business FLEX Fund
Catalyst Fund
Darshni Patel, MPA, Director Business Incentive Programs 6751 Columbia Gateway Drive, Suite 500 Columbia, MD 21046 (410) 313-6512
Maryland Capital Enterprise Maurice Ames, Executive Director P.O. Box 213 144 East Main Street Salisbury, MD 21803 410-546-1900
Meridian Management Group Randy Croxton, Chief Investment Officer 826 E. Baltimore St. Baltimore, MD 21202 410-333-4270
Tri-County Council for Western Maryland Chris Funk Business Development Loan Officer 11 S. Lee Street Cumberland, MD 21502 cfunk@tccwmd.org 301-689-1300
Video Lottery Terminal (VLT) Fund
Maryland Casino Business Investment Fund
SLoT Fund
Loan Requirements Loans between $25,000 and $500,000, interest rate between 4%-7%. Personal credit 640 or above, historical/projected debt service coverage of 1.00x. Collateral required when available, and personal guaranty of owners over 20%. A minimum 10% equity injection and business plan required for start-up businesses. SBA classified as a small business. Other requirements may apply. Loans between $30,000 and $300,000, maximum 10-year term. Personal credit score of 680 or higher, collateral required, personal guaranty. SBA classified as a small business. Other requirements may apply. Loans between $50,000 and $250,000, maximum 20-year term, collateral required, personal guaranty, SBA classified as a small business. Other requirements may apply.
Loans up to $250,000, flexible interest rate determined after full underwriting, maximum 10-year loan term. Collateral includes business and personal assets, personal guaranties required, geographical proximity to casinos. SBA classified as a small business. Other requirements may apply.
Loans between $50,000 and $500,000 with a maximum term of 5 years and fixed interest rate based on credit quality. Personal guaranties are required from owners with 20% or greater interest. Collateral required, 1% loan origination fee at closing. SBA classified as a small business. Other requirements may apply.
Loans between $5,000 and $150,000 with terms up to 10 years, interest rates ranging from 6% to 12%, No minimum credit score, collateral required. Personal guaranty required from all owners with 20% or greater interest, Business plan required. SBA classified as a small business. Other requirements may apply. Loans from $50,000 to $500,000, one to ten year term, flexible interest rates, Full, limited and no collateral value coverage will be considered, personal guaranty required, will consider businesses and individuals that have less than fair credit scores. SBA classified as a small business. Other requirements may apply. Loans between $10,000 and $500,000. Interest rates between 4% and 8%, terms up to 5 years for working capital and up to 15 years for fixed assets, business plan required. Personal credit score of 650 but lower scores considered; personal guaranties from all owners with 20% or greater interest, collateral required, minimum equity injection of 10% for start-up businesses, application fee $250 (non-refundable); 1% loan origination fee at closing. SBA classified as a small business. Other requirements may apply.
AvDyne AeroServices, LLC AvDyne AeroServices, LLC is a minority owned Service Disabled Veteran-Owned Small Business (SDVSB) headquartered at Thurgood Marshall Baltimore Washington International Airport (BWI), operating since April 2000. An award-winning FAA approved Part 145 repair station, AvDyne has grown into a multi-million dollar provider of line maintenance services to commercial airlines and cargo aircraft at BWI, Reagan National Airport (DCA) and Dulles International Airport (IAD). AvDyne is led by Jerome Hodge, an electedmember of the East Coast Chapter of the Tuskegee Airmen with 38 years of flight, repair and maintenance experience. Beginning with just 5 mechanics, Jerome now oversees an operation that employees over 50 mechanics. AvDyne’s growth has been assisted with VLT funding from MCBIF which is managed by Meridian Management Group.
“The community has been so supportive, they love our food, and we get to connect with so many of them. We continued to do well, and they have helped see us through this. It is an awesome community in Churchton.” Jayleen Fonseca, co-owner
JesseJay’s Latin Inspired Kitchen The Anne Arundel Economic Development Corporation (AAEDC) VOLT Fund was instrumental in the establishment of JesseJay’s Latin Inspired Kitchen in southern Anne Arundel County. In 2019, the $270,000 loan helped owners Jayleen Fonseca and Jesse Ramirez with startup costs and pay for the purchase and improvement of an existing restaurant/bar property. During the COVID-19 pandemic, which negatively impacted large swaths of the restaurant sector, JesseJay’s continued to thrive. The business was so successful that AAEDC provided it with a second VOLT loan to purchase a food trailer. The additional kitchen space helps the JesseJay’s grow its expanding carryout business.
The Maryland Department of Commerce, the state’s primary economic development agency, is committed to providing outstanding customer service to Maryland’s businesses and creating a business-friendly environment to strengthen our economy. Whether investing in Maryland as a business owner, a lending institution or as an economic developer, Maryland Commerce provides assistance navigating the various financial incentives for businesses. For additional information about the VLT program contact: Darla Garrett Program Manager, Office of Finance Maryland Department of Commerce darla.garrett@maryland.gov 410-767-6963
commerce.maryland.gov Wes Moore, Governor Aruna Miller, Lt. Governor 11_2023