Hua Kanu Business Loan
The Hua Kanu Business Loan Program is available to Native Hawaiians who own established business. Created on July 17, 2013, the low-cost loans are intended to help these small-businesses expand. It is meant to provide them access to credit and capital that allow them to grow as well as remain financially viable.
Some uses of the loan:
- Purchase equipment or inventory
- Working capital
Amount:
$150,000 – $1,000,000
Rates & Terms
- Applications will be processed on a first come, first served basis
- OHA refers potential loan applicants to a technical assistance provider that guides applicants in completing the loan application packet
- There are certain activities for which loan monies cannot be used
- Note: The OHA Hua Kanu Business Loan is NOT the OHA Mālama Loan
- 7-year loan term; interest rate is 4.00% APR
Eligibility
- All Principals must be U.S. Citizens
- All Principals must be Hawaii Residents
- Principals must be Native Hawaiian: verified by current OHA Hawaiian Registry card
REQUIRED DOCUMENTS
- Business Plan
- Verification of Collateral – The loan-to-value ratio must not exceed 100% [acceptable collateral includes real estate (100% assessed value), equipment (100% assessed value), receivables, inventory, purchase orders and contracts may be considered]
- Tax Returns – 1 to 3 years of business tax returns may be required depending on the size of the loan requested
- Financial pro forma for a period of 2 to 3 years
- Certificate of Good Standing from DCCA
- Verification of being an eligible applicant
- Verification that the loan proceeds will not be used for unallowable activities
- Other items as may be required by the bank, OHA, or the technical assistance provider
Unallowable Loan Activities
- Investing in high-interest accounts
- Certificates of deposit (CODs) or other investments
- Relending of the loan amount by the borrower
- Purchasing land or buildings
- Constructing buildings
- Purchasing or financing equity in private businesses
Apply
To inquire about a Hua Kanu loan, please contact us at (808) 470-0867, NHRLF@ohaloanfund.org, or contact your OHA neighbor island office.