The Start-Up Funding Challenge 2012 is now closed. Thank you to all who participated!
See the final grant winners.

Opportunity Fund—California's largest non-profit microlender to small businesses—is proud to announce our Start-Up Funding Challenge 2012! The funding you need to grow a new small business is hard to come by.  We recognize the value of your business and we want to give you the money you need to jump-start your enterprise.

Qualifications

• Your business must be / will be located in Santa Clara, San Mateo, San Francisco, Alameda, Marin, or Contra Costa Counties
• Your business must either be ready to launch within three months of April 15th (by July 15th), or have less than 1 year of sales at the time of application
• Your business must have financing needs of $5,000 to $50,000
  
• If you have open judgements, unpaid tax liens, unpaid child support and/or late payments in the last six months, you will be automatically disqualified; bankruptcies must have been discharged at least two years ago (January 2010 or earlier)
  
• You must have a valid social security number or ITIN
• The following types of businesses will not be considered: bars/clubs, liquor stores, adult entertainment, real estate investment, export businesses, research and development

Award announcement:

• Loans will be offered on a first-come, first-served basis. Grant winners will be determined once the challenge deadline has passed. Those selected as grant winners will be contacted by April 30, 2012.
  

Primary selection criteria:

• Sustainability of your concept and your ability to continue operations
• Viability of your business to generate revenues and profits after financing
• Impact your business will have on the community

**Business risks and needs will determine the size of the loan to be offered. If you would like to add a co-signer to strengthen your application, please have them fill out the "spouse/co-borrower" sections of the application.

Application materials:

• Completed and signed Opportunity Fund Start-Up Challenge Application
  
• Last three months of business bank statements/proof of income or business plan, with at least 1 year of profit and loss projections (templates available upon request)
  
• 2010 personal federal tax return
  
• Current paystub and proof of current income sources, if applicable

**Once selected for further review applicants may be asked to provide additional supporting documentation, which could include: collateral documents, additional financial information, etc. 

Application package can be mailed to:
Start-Up Funding Challenge
Opportunity Fund
111 W. St. John St., Suite 800
San Jose, CA 95113

Or emailed to:
startup2012@opportunityfund.org

Opportunity Fund has sole discretion over award of grants and all lending decisions.

Loans will be made or arranged pursuant to Department of Corporations California Lenders License.

OFFICIAL RULES AND GUIDELINES
The 2012 Opportunity Fund Start-Up Funding Challenge (“Challenge”) is open to individuals or sole proprietors who have reached the older of 18 years old or the age of majority in their jurisdiction of residence and have the full legal capacity to participate in this Challenge at time of entry. The Challenge and these Official Rules are void where prohibited by law or where registration or bonding required. Opportunity Fund employees, parents, affiliates and subsidiaries, and participating advertising and promotion agencies (and members of their immediate family (spouse, domestic partner, parent, child, sibling and their respective spouses, regardless of where they reside) or those living in their household, whether or not related) are not eligible. Entrants may not be employees of a company or members of any organization that may prohibit them from participating in this Challenge or that would restrict, require due payment or otherwise have the right to oppose such entrant’s participation in this Challenge. Prizes (also known as “awards” also known as “grants”) will be awarded in the name of the individual or business that entered. Any individual submitting an entry on behalf of a business entity represents and warrants that he/she is authorized to submit an entry on behalf of such business entity. This Challenge is a skill-based contest, and as such, the winners will not be selected randomly, but on the basis of objective judging criteria (as set forth below).  The odds of winning depend on the skill and number of participants.  Any participation expenses will not be refunded.

Loan and grant funding will be at the sole discretion of Opportunity Fund. A designated panel of judges, selected by Opportunity Fund in its sole discretion, will be determining both the “semi-finalists” and the grant award or prize winners (the top 2 eligible applicants). Opportunity Fund is committed to serving all qualified applicants up to the specified $300,000 total potential loan commitment and $7,000 total potential grant to the project, but reserves the right to disburse less than the maximum based on the number of qualified and eligible applications submitted for both the loan and grant funding. Those selected for loan funding will be offered loans on a rolling basis throughout the Challenge, and up to 1 month following the close of the Challenge. The judging panel will judge the qualified entries using the following criteria: (a) sustainability of the business as defined by the current and debt obligations of the business and the individuals associated with the business; the past credit history of the business and the individuals associated with the business; the income gained outside the applying business, or collateral available, to support a household and possible repayment, in the event of default; (b) viability of the business as defined by the competitive environment and barriers to entry in the field of the applying business; the potential to feasibly reach the projected income and expenses; the validity of assumptions made in any planning and the potential to reach the market and generate sales with additional funding; the management experience, character, and industry knowledge; and (c) the impact of the business as defined by the impact it can have on meeting the mission statement of Opportunity Fund and the potential for job creation in the San Francisco Bay Area.  Opportunity Fund reserves the right to offer contingent loan funding that will only be approved if the applicant requires additional funding through the awarding of a grant or of other funds. The applicant may choose to accept the loan up to one month after it is offered, if the applicant would like to wait to see if they receive an award as well, then a second review of the application will be necessary if the loan was offered greater than 1 month prior. 

All businesses must be located in the greater San Francisco Bay Area, as defined by the counties listed on the Challenge overview. Funding amounts needed from Opportunity Fund must fit between $5,000 and $50,000 to qualify for the Challenge. If additional funding is required for the business, proof of that funding must be submitted along with the application prior to an application being reviewed by Opportunity Fund. If proof of the funding is not submitted prior to the deadline for submissions, the application will not be considered complete and therefore will not be eligible for funding.

The following items proposals are prohibited and will not be considered for funding: gas stations, adult entertainment, marijuana dispensaries, liquor stores, bars, clubs, real estate investment, export businesses, and research and development activities.  Opportunity Fund reserves the right not to consider other proposals that it considers in bad taste or otherwise inconsistent with its mission.

Any person who has filed for Bankruptcy must have their cases discharged prior to January 2010 to be eligible. Persons with open judgments or currently pending litigation against them will also be disqualified from funding options. Any person with currently outstanding late child support as defined by a credit report or court record will also be disqualified from all funding options.

Persons with late payments in the past six months, under normal and ordinary circumstances, on any account appearing on a credit report or through any verification of payments (such as utility bills, phone bills, landlord, etc.) will also be disqualified from funding options.

Persons applying must have a valid Photo identification, and valid social security number or Individual tax identification number (ITIN).

Businesses applying should either currently have validated sales for less than 12 consecutive months, or have significantly proceeded with planning to be able to generate revenue within 3 months from the contest end date (by July 15, 2012).

Each applicant will be considered a loan application and due diligence will be performed on each application.

Further documentation may be requested to determine the full potential of an applicant and to protect the risks of lending through Opportunity Fund.

The proceeds of the loan and any grant funding are subject to the terms and conditions of Opportunity Fund’s loan agreement.

Winner is responsible for all taxes and fees associated with the receipt and/or use of the grant awards.
Grant funding will be provided to the 2 top applicants as determined through Opportunity’s Fund underwriting and selection process within the guidelines listed in the contest overview. The grants awarded will be up to $5,000 for 1st place and up to $2,000 for 2nd place. Each applicant who receives a grant will also receive a loan according to the business risks and needs. If the chosen winners have financing needs for their business under the maximum grant level, then a loan equal to 25% of the total needs will be released and the remaining will be disbursed via the grant award. (For example, if the 1st place award needs $5K for their business, a loan of $1,250 will be awarded, and a grant of $3,750 will be disbursed.)

To be considered for funding, all applications must be received during the dates and times specified in the contest overview. Postmarks will be used for mail applications, and computer time stamps will be used for emailed applications.  (Postmarks for mail must be within the deadline and the mail must be received within 7 days from the deadline.) To be considered for any funding, a full set of application materials must be submitted. This includes, but is not limited to: a signed and dated application, 2010 personal federal tax return, proof or sales or 1 year of profit and loss projections, and a current paystub. Additional documentation requests by Opportunity Fund must also be submitted to be considered a complete application.
Opportunity Fund will notify those selected for further review by email or phone via the contact information provided on the application. The selected semi-finalists must respond to Opportunity Fund within 10 business days, or as otherwise specified by Opportunity Fund, to any further required document request. Semi-finalists will be required to provide a 2 minute or less video clip or 5 photos showcasing their business to be included in the finalist submission. The videos and photographs may be taken by an individual or Opportunity Fund staff, but must only be submitted after selection as a semi-finalist in the Challenge.

All funds, both loan and grant, must be disbursed within 30 days following the formal announcement of award to the selected applicants. Applications will be reviewed for loan funding on a rolling basis based on a first come first serve policy. At the time of review if loan funding is a potential option the application will be underwritten for potential funding and an offer may be made to the applicant(s).  The winners of the grant funding will be determined through a panel of challenge judges selected by Opportunity Fund and will be notified prior to April 30, 2012 if any additional documentation is necessary for the grant funding and about their selection as winners of the grant awards.   If a winner fails to provide the documentation or submits incomplete documentation, the prize may be forfeited and we may, in Opportunity Fund’s sole discretion, select an alternate winner.

By submitting an Entry, each entrant agrees to the publishing of his/her name, business logo, city/state/province/country on the Opportunity Fund Website and inclusion in a press release and other media coverage if he/she is selected as a winner. Acceptance of prizes by winners constitutes permission for Opportunity Fund and affiliates, agencies and designees to use winners’ names or likenesses, city/state/province/country and company names’, trademarks and logos for advertising and promotional purposes relating to the Challenge in any and all media now or hereafter devised, worldwide in perpetuity (or to the maximum extent permissible under applicable law), without additional compensation, notification or permission, unless prohibited by law.

Opportunity Fund, in its sole discretion, reserves the right to change these Official Rules or cancel, terminate, modify, or suspend the Challenge for any reason, including (i) in the event it does not receive a minimum of 10 qualified Entries from separate eligible entrants and (ii)if for any reason the Challenge is not capable of running as planned, including infection by computer virus, bugs, tampering, unauthorized intervention, fraud, technical failures, or any other causes which corrupt or affect the administration, security, fairness, integrity, or proper conduct of this Challenge. If terminated, the winners may be selected from all non-suspect, eligible entries received as of the termination date using the judging procedure outlined above.
By participating in the Challenge, each entrant grants to Opportunity Fund a non-exclusive, worldwide, fully paid, royalty-free, perpetual, transferable license to reprint, display, reproduce, perform, use, and exhibit (including the right to make derivative works of) the entry and materials and information submitted on and in connection with the Challenge or use or receipt of the prize for any and all purposes in any medium.  Each participating entrant hereby warrants that any entry and other materials and information provided by entrant are original with entrant and do not violate or infringe upon the copyrights, trademarks, rights of privacy, publicity or other intellectual property or other rights of any person or entity, and do not violate any rules or regulations.  Each entrant warrants that the entry and materials and information provided do not contain information considered by entrant, its employees or personnel, or any other third party to be confidential. Entrant represents and warrants that he or she has permission from his employer and any necessary third party to enter the Challenge, and receive the award.  

OPPORTUNITY FUND MAKES NO REPRESENTATIONS OR WARRANTIES OF ANY KIND, EXPRESS OR IMPLIED, REGARDING ANY PRIZE OR YOUR PARTICIPATION IN THE CHALLENGE.  BY ENTERING THE CHALLENGE OR RECEIPT OF ANY PRIZE, EACH ENTRANT AGREES TO RELEASE AND HOLD HARMLESS OPPORTUNITY FUND, AND ITS SUBSIDIARIES, AFFILIATES, SUPPLIERS, DISTRIBUTORS, ADVERTISING/CHALLENGE AGENCIES, AND PRIZE SUPPLIERS, AND EACH OF THEIR RESPECTIVE PARENT COMPANIES AND EACH SUCH COMPANY’S OFFICERS, DIRECTORS, EMPLOYEES AND AGENTS (COLLECTIVELY, THE “RELEASED PARTIES”) FROM AND AGAINST ANY CLAIM OR CAUSE OF ACTION, INCLUDING, BUT NOT LIMITED TO, PERSONAL INJURY, DEATH, OR DAMAGE TO OR LOSS OF PROPERTY, ARISING OUT OF PARTICIPATION IN THE CHALLENGE OR RECEIPT OR USE OR MISUSE OF ANY PRIZE.  THE RELEASED PARTIES ARE NOT RESPONSIBLE FOR:  (1) ANY INCORRECT OR INACCURATE INFORMATION, WHETHER CAUSED BY ENTRANTS, PRINTING ERRORS OR BY ANY OF THE EQUIPMENT OR PROGRAMMING ASSOCIATED WITH OR UTILIZED IN THE CHALLENGE; (2) TECHNICAL FAILURES OF ANY KIND, INCLUDING, BUT NOT LIMITED TO MALFUNCTIONS, INTERRUPTIONS, OR DISCONNECTIONS IN PHONE LINES OR NETWORK HARDWARE OR SOFTWARE; (3) UNAUTHORIZED HUMAN INTERVENTION IN ANY PART OF THE ENTRY PROCESS OR THE CHALLENGE; (4) TECHNICAL OR HUMAN ERROR WHICH MAY OCCUR IN THE ADMINISTRATION OF THE CHALLENGE OR THE PROCESSING OF ENTRIES; OR (5) ANY INJURY OR DAMAGE TO PERSONS OR PROPERTY WHICH MAY BE CAUSED, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, FROM ENTRANT’S PARTICIPATION IN THE CHALLENGE OR RECEIPT OR USE OR MISUSE OF ANY PRIZE. 

If for any reason an entrant's entry is confirmed to have been erroneously deleted, lost, or otherwise destroyed or corrupted, entrant’s sole remedy is another entry in the Challenge.  In event that production, technical, programming or any other reasons cause more than stated number of prizes as set forth in these Official Rules to be available and/or claimed Opportunity Fund reserves the right to award only the stated number of prizes by a random drawing among all legitimate, unawarded, eligible prize claims.
This Challenge and the rights and obligations of Opportunity Fund and participants will be governed by and controlled by the laws of the State of California, applicable to contracts made and performed therein without reference to the applicable choice of law provisions.  All actions, proceedings or litigation relating hereto will be instituted and prosecuted solely within the State of California, Sant Clara County.  The parties consent to the jurisdiction of the state courts of California and federal court located with such state and county with respect to any action, dispute or other matter pertaining to or arising out of this Challenge.

Individuals may request the name of the winners by submitting a self-addressed stamped envelope prior to July 15, 2012  to Opportunity Fund, Winner’s Request List, Opportunity Fund, 111 W. St. John St., suite 800, San Jose, CA 95113.  Vermont residents may omit postage. Sponsor of this Challenge is Opportunity Fund, Opportunity Fund, 111 W. St. John St., suite 800, San Jose, CA 95113.