Texas Government Code 481.401 – Definitions
Terms Used In Texas Government Code 481.401
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
- Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
In this subchapter:
(1) “Capital access loan” means a loan that is entitled to be secured by the fund.
(2) “Financial institution” includes a bank, trust company, banking association, savings and loan association, mortgage company, investment bank, credit union, or nontraditional financial institution.
(3) “Fund” means the original capital access fund.
(4) “Loan” includes a line of credit.
(5) “Medium-sized business” means a corporation, partnership, sole proprietorship, or other legal entity that:
(A) is domiciled in this state or has at least 51 percent of its employees located in this state;
(B) is formed to make a profit; and
(C) employs 100 or more but fewer than 500 full-time employees.
(6) “Nonprofit organization” means a private, nonprofit, tax-exempt corporation, association, or organization listed in Section 501(c)(3), Internal Revenue Code of 1986, that is domiciled in this state or has at least 51 percent of its members located in this state.
(6-a) Repealed by Acts 2023, 88th Leg., R.S., Ch. 690 (H.B. 1515), Sec. 16(2), eff. September 1, 2023.
(7) “Participating financial institution” means a financial institution participating in a program.
(8) “Program” means an access to capital program established by the bank under this subchapter.
(9) “Reserve account” means an account established in a participating financial institution on approval of the bank in which money is deposited to serve as a source of additional revenue to reimburse the financial institution for losses on loans enrolled in a program.
(10) “Small business” means a corporation, partnership, sole proprietorship, or other legal entity that:
(A) is domiciled in this state or has at least 51 percent of its employees located in this state;
(B) is formed to make a profit;
(C) is independently owned and operated; and
(D) employs fewer than 100 full-time employees.