HFLS Security Infrastructure Loan Application

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Welcome & Instructions

Thank you for your interest in applying for a Security Infrastructure Loan from the Hebrew Free Loan Society (HFLS). Please read the following eligibility and program information thoroughly, as it will impact whether you receive a loan.

General Information

The Security Infrastructure Loan Program provides interest-free loans of up to $150,000 to Jewish communal organizations in New York City’s five boroughs, Westchester, Long Island or Northern New Jersey to enhance the ability of these institutions to prepare, prevent, and respond to terrorist attacks and other security threats. Agencies may use the loans for planning, equipment, training, and physical infrastructure improvements. This program is a partnership with UJA-Federation of New York and the Jewish Federation of Northern New Jersey.


FOR AGENCIES THAT HAVE GOVERNMENT SECURITY GRANTS


Government security grants require agencies to pay up front for the work and then to submit receipts for reimbursement, which causes a cash flow problem for some agencies to the point that they are unable to take advantage of the award. This program provides interest-free bridge loan financing to ensure that grant awardees can proceed with the work necessary to increase security and safety for their community.


Loans are available up to $150,000 and must be repaid in full upon receipt of reimbursement from the grant-making government agency or within six months of the loan date.


If a borrowing agency veers from their government grant approved work plan with the result that some of the costs for the project are deemed not reimbursable by the government, HFLS will still require repayment in full.


Agencies that have government grants and seek to apply for a Security Infrastructure Loan can apply either based on their own creditworthiness or based on the creditworthiness of guarantors.


Agencies applying based on their own creditworthiness must:


Provide financial statements including a cash flow analysis that demonstrates that the agency can repay the loan in six months following the expenditure if for any reason the grant is not paid.

Provide a signed copy of the Security Agreement, which 1) gives HFLS a first-priority lien on the portion of the grant funds covered by the HFLS loan, 2) obligates the borrowing agency to do what is necessary to obtain payment of the grant, and 3) in the very unlikely event that the grant or the improvements made by the borrowing agency result in any liability or cost to HFLS, the agency agrees to pay such liability or cost (except if HFLS is the guilty party).


Agencies applying based on the creditworthiness of guarantors must:


Provide 1-4 guarantors that meet the criteria outlined below under Guarantor Requirements.


FOR AGENCIES THAT DO NOT HAVE GOVERNMENT SECURITY GRANTS*

*Only applicable for Institutions in New York.


Similar to the program above, but as these agencies do not have a guaranteed third-party source of repayment, they must provide guarantors for the full amount of the loan.


Loans are available up to $150,000 and may be repaid in six to ten monthly installments, with the maximum monthly payment imposed by HFLS set at $25,000 (for a six-month repayment term on a loan of $150,000). As with all HFLS loan programs, borrowing agencies may opt to repay their loan in larger installments and/or over a shorter term. Loan repayments will begin the month after the agency receives their loan.


As these agencies do not have government security grant awards, they must:


Submit a security infrastructure plan for HFLS approval, and provide two guarantors OR one guarantor plus financial statements including a cash flow analysis that demonstrates that the agency can repay the loan in ten months following the expenditure.

Guarantor Requirements

HFLS loan applicants applying on the creditworthiness of guarantors will require one or more guarantors who agree to take responsibility for the loan if the borrowers are unable to repay at any point during the loan term.  


A “guarantor” may be one person/couple guaranteeing the full loan amount OR more than one person/couple guaranteeing no less than $25,000 each, as long as the aggregate amount guaranteed equals the total loan amount.


Guarantors must meet the following criteria:

  • US citizens or legal residents currently living in New York, New Jersey, or Connecticut.
  • The amount guaranteed may not be more than 25% of the guarantor’s annual income as shown on the preceding year’s tax return or more than 10% of liquid assets as shown by statements or verified by a letter from the guarantor’s accountant.
  • Have a credit score of at least 680 (guarantors must agree to have HFLS pull their credit report)
A couple is considered one guarantor; if a guarantor is married, his or her spouse must also agree to guarantee the loan. Guarantors may NOT live in the same household as the applicant.

Even if they meet the requirements above, persons who are currently a guarantor on an outstanding HFLS loan or who are unable to repay the loan will not be permitted to guarantee a Security Infrastructure Loan.

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Loan Documents

The documents below are required for a Security Infrastructure Loan.


From the borrowing institution:

  • For agencies with government grants: A copy of the fully executed government grant award contract

  • For agencies without government grants: A detailed project plan of the security infrastructure upgrade with costs and a timeline.
While it is not mandatory to submit these documents now, HFLS will require these documents in order to review your application. Uploading copies of these documents now will speed up the processing of your loan application.
  • Copies of government issued ID’s of the responsible officer that will sign the loan agreement
  • Copies of the grant award letter(s)
  • A copy of the “Budget” section of the e-grants system
  • A project timeline (download here) showing the completion timelines for each project listed on the budget and their status if work has already begun
  • Copies of vendor proposals for the project
  • Voided check


From the guarantor(s):


  • Guarantor Form(s),completed and signed by the guarantor(s) and their spouse(s), if married. (A married couple is considered one guarantor.)

  • Copies of government-issued photo IDs that include signatures for the guarantors and their spouses, if married (e.g. driver’s license or U.S. passport).

  • Preceding year’s tax return, bank statements, or letter from each guarantor’s accountant demonstrating that the loan amount is not more than 25% of the guarantor’s annual income as shown on the preceding year’s tax return OR more than 10% of liquid assets.

Contact HFLS for questions
If you have questions about the application or requirements, please reach out directly to Fred Cohen at fcohen@hfls.org
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Please answer all questions below and upload copies of the documents requested at the end of the application. Submission of this application does not guarantee loan approval.

Business Information 
Do not abbreviate the business name
Business Address
Authorized Representative Information

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Loan Request 
$
Enter an amount up to $150,000; do NOT not use dollar sign or decimals

1st Security Grant Information

$

2nd Security Grant Information

$

3rd Security Grant Information

$

4th Security Grant Information

$

5th Security Grant Information

$

6th Security Grant Information

$

7th Security Grant Information

$

8th Security Grant Information

$

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Required Documents Upload
While it is not mandatory to submit these documents now, HFLS will require these documents in order to review your application. Uploading copies of these documents now will speed up the processing of your loan application.
License or other valid government-issued photo ID
HFLS will not disburse loan funds until the budget is registered as “Executed” in the E-grants system. This signifies to HFLS that not only did you receive grant approval but that the institution has received the go ahead to start their project(s).
Guarantor Information
Guarantors must meet the following criteria:

  • US citizens or legal residents currently living in New York, New Jersey, or Connecticut.
  • The amount guaranteed may not be more than 25% of the guarantor’s annual income as shown on the preceding year’s tax return or more than 10% of liquid assets as shown by statements or verified by a letter from the guarantor’s accountant.
  • Have a credit score of at least 680 (guarantors must agree to have HFLS pull their credit report)
A couple is considered one guarantor; if a guarantor is married, his or her spouse must also agree to guarantee the loan. Guarantors may NOT live in the same household as the applicant.

Even if they meet the requirements above, persons who are currently a guarantor on an outstanding HFLS loan or who are unable to repay the loan will not be permitted to guarantee a Security Infrastructure Loan.

Please enter the first name, last name, and email address of your proposed guarantor below. After you submit your loan application, your guarantor will receive an email inviting them to complete an online Guarantor Form. If you have not already done so, please alert your guarantors to look out for this email.
Guarantor 1
Guarantor 2
Guarantor 3
Guarantor 4
Agency Credit
Please provide balance sheets and income statements for the prior 2 fiscal years and the current fiscal year to date.
Signature
By typing your name below, you are signing this application electronically. You agree that your electronic signature is the legal equivalent of your manual signature on this application.
Type your name