Next Stage Fund

Next Stage Fund is sponsored by Anne Arundel Economic Development Corporation (AAEDC). Provides zero-interest loans to technology companies, particularly those supporting defense and cybersecurity, to assist in scaling operations.

VOLT Fund Small Business Loans | Anne Arundel County, MD Fuel Your Business Growth with the VOLT Fund Flexible, growth-focused loans for small, minority-owned, woman-owned, and Veteran-owned businesses across Maryland. Access $25,000–$500,000 to support startups, expansion, and equipment purchases. Loans up to $1,000,000 for the purpose of purchasing commercial real estate.

Ideal For: Small and minority-owned, women-owned, and Veteran-owned businesses in Maryland looking to start, grow, or expand operations. Loan Amount: $25,000 – $1,000,000 Use of Funds: Business and commercial real estate acquisition, expansion, leasehold improvements, equipment purchases, and startup expenses.

Download VOLT Fund Brochure Maryland businesses funded through the VOLT Fund The VOLT Fund provides loans for small, minority-owned, women-owned, and Veteran-owned businesses in Maryland. Loan amounts range from $25,000 to $1,000,000 and may be used for business expansion, equipment, leasehold improvements, startup expenses or commercial real estate purchases.

Managed by the Anne Arundel Economic Development Corporation on behalf of the Maryland Department of Commerce , the VOLT Fund is designed to help businesses grow, create jobs, and strengthen communities across the state.

Competitive interest rates: Priced at or below current market rates Broad eligibility: Available to start-ups and existing small businesses Flexible use of funds: Real estate, equipment, leasehold improvements, expansion capital, startup expenses, and more Professional support: Loan settlement facilitated by AAEDC staff or experienced outside attorneys Ongoing guidance: Post-closing monitoring, servicing, and support from AAEDC’s financial services team To ensure responsible lending and long-term success, VOLT Fund loans typically require: Minimum personal credit score of 640 Debt Service Coverage Ratio (DSCR) of 1.

00x (historical or projected with reasonable assumptions) Collateral when available Personal guarantees from all owners with 20% or more ownership Life insurance on owner/guarantor when no valid succession plan exists 10%-20% minimum equity injection for start-up businesses Business plan required for start-ups Standard underwriting practices are used, including review of repayment capacity, financial strength, management experience, industry knowledge, and collateral protection.

AAEDC has awarded over $25M in VOLT Fund loans since it began managing the Fund, in May 2013. Listen to several recipients share how the VOLT Fund loan helped them start and grow their business. Sharon Jackson Wilder, Owner and CEO, The Oaks Bed & Breakfast Elizabeth Elliott, Owner, Himmel’s Landscaping & Garden Center Kendra Eden, Owner, Sweet Eden Bakeshop What size loans do the fund issue under this program?

The fund issues business loans between $25,000 and $500,000. The fund does loans fully secured by commercial real estate up to $1,000,000. Where does my business need to be in order to possibly qualify?

The business must be located in or relocating to the State of Maryland.

Half of the fund’s investment will be targeted to small, minority-owned, women-owned, and Veteran-owned businesses located within a ten-mile radius of Maryland’s six existing casinos: Maryland Live in Anne Arundel County, Hollywood Park in Cecil County, Rocky Gap Casino in Allegany County, Ocean Downs in Worcester County, MGM in Prince George’s County, and the Horseshoe Casino in Baltimore City.

The other half will be available to small businesses throughout the State of Maryland. If my business is not located in Anne Arundel County, can I still apply for the VOLT Fund? For businesses and potential new businesses located in Montgomery, Howard, Prince George’s, Baltimore County, and Baltimore City the borrower should contact their local fund manager regarding funding.

Contact information for all fund managers are available at the following link: https://commerce. maryland. gov/fund/programs-for-businesses/vlt .

Businesses located in counties in Maryland that are not serviced by a local fund manager may apply for the VOLT Fund. How do you define a small business? Small business is defined by SBA size standards.

You can check your business by NAICS codes at the following website: https://www. sba. gov/federal-contracting/contracting-guide/size-standards/size-standards-tool Does the VOLT program fund startup businesses?

The VOLT Fund does allow start- up businesses to apply for the funding, including startup costs.

In general you will have to identify where you will be located with an LOI or term sheet from the landlord for the location, create a total project budget to include priced out proposed renovations to the space, estimates for furniture, fixtures and equipment, initial inventory, initial deposits, start-up labor costs needed to get open and to profitability and other startup onetime costs.

In addition, you will be required to provide a full business plan with monthly projections for two years including assumptions. “The VOLT Loan was essential in helping launch our business; without it, I don’t know that we would have a business.

Using these funds, we were able to generate our marketing campaign and purchase the equipment we needed and I’m happy to report that we turned our first profit in our 4th month since receiving the VOLT proceeds. THANK YOU! ” Severn Financial Solutions, LLC “The VOLT Fund has been instrumental in both the initial launch and continued growth of Jay’s.

It provided the crucial financial backing that enabled us to transform our vision into reality when traditional banks couldn’t, and it allowed us to pursue two expansion opportunities that might have otherwise been out of reach.

” Jay’s Latin Inspired Kitchen “I was attracted to the VOLT Fund because of its flexible terms and great interest rate, but also because it was coming from an organization that was sincerely invested in my business’s success. It made it possible for me to pursue my dream of purchasing and starting the business, which has grown from four employees to 35 employees and is getting stronger and stronger every year.

” “The VOLT Fund loan made it possible for me to expand my business in a way that simply would not have been achievable otherwise. It allowed me to grow Skinlogic beyond aesthetics into a true wellness space, while also creating new job opportunities and services for the community. I am deeply grateful to AAEDC for believing in my vision and supporting this next chapter of growth.

” Ready to Take the Next Step? Don’t wait to grow your business. The VOLT Fund could be your next step toward expansion, innovation, and hiring.

You May Also Be Interested In… AAEDC offers a range of financing tools designed to support businesses at every stage from start-up to expansion. Explore additional loan programs and incentives that may complement or align with your goals.

Ideal For: Small and minority-owned, women-owned, and Veteran-owned businesses that have been in business for at least 2 years, graduated a business accelerator program, and are seeking low-cost flexible, expansion capital. Loan Amount: Up to $50,000 Use of Funds: Expansion capital, business vehicle purchases, equipment, leasehold improvements, and other legitimate business expenses that support revenue growth.

Ideal For: Established local high growth businesses that have developed an innovative product, that is expanding into new markets, increasing sales, and creating jobs. Loan Amount: Up to $100,000 Use of Funds: Workforce, expansion, equipment and other growth-related investment with flexible long-term repayment options.

Arundel Community Reinvestment (ACR) Fund Ideal For: Businesses and property owners looking to make improvements to the exterior of a commercial property located in one of Anne Arundel County’s 11 Commercial Revitalization Districts including in the city of Annapolis and select areas in South County.

Loan Amount: Up to $100,000 (0% interest) Use of Funds: Exterior building renovations, site improvements, façade upgrades, landscaping, and other exterior improvements that strengthen commercial corridors. Ideal For: Technology companies serving the cybersecurity and national defense industries with fewer than 100 employees and less than $5 million in gross revenue that are looking to get started or expand.

Loan Amount: $50,000 – $250,000 Use of Funds: Working capital to cover accounts receivable, leasehold improvements, cybersecurity compliance certifications, technology equipment, and operational growth needs available at below market interest rates. Economic Development Revenue Bonds Ideal For: Manufacturers, eligible 501(c)(3) nonprofit organizations, and certain energy projects pursuing large-scale capital investments.

Loan Amount: Based on project size and financing structure Use of Funds: Fixed-asset financing such as land acquisition, building construction, facility expansion, and major equipment purchases through tax-exempt bonds. Agricultural Business Improvement Grant (ABIG) Ideal For: Farm-based businesses and commercial watermen in Anne Arundel County. Grant Amount: Matching grants up to $10,000 (one-to-one match required).

Use of Funds: Eligible projects include fencing, livestock, plant stock, equipment, and agricultural infrastructure improvements that increase efficiency, revenue, or operational capacity. Ideal For: Businesses impacted by declared emergencies or disasters. Grant Amount: Varies by event and funding availability.

Use of Funds: Immediate recovery and operational relief to help stabilize, reopen, and move forward after a disaster or declared state of emergency.