§ 15-4-1016 - Powers. - Arkansas Statutes

15-4-1016. Powers.

(a) The purposes of each capital development company shall be to:

(1) Promote, stimulate, develop, and advance the business prosperity and economic welfare of the State of Arkansas and its citizens;

(2) Encourage and assist through loans, investments, or other business transactions in the location of new business and industry in this state and to assist the growth and expansion of existing business and industry;

(3) Stimulate and assist in the expansion of all kinds of business activity that will tend to promote the business development and maintain the economic stability of this state, provide maximum opportunities for employment, encourage thrift, and improve the standard of living of the citizens of this state and, similarly, to cooperate and act in conjunction with other organizations, public or private, in the promotion and advancement of knowledge-based industry, venture capital, and biotechnology and cultural, industrial, technological, scientific, commercial, agricultural, economic, and recreational development in this state;

(4) Provide financing for the promotion, development, and conduct of all kinds of business activity in this state, including new businesses developed through colleges and universities located in the state and businesses owned by women and minorities; and

(5) Foster the flow of development capital throughout the state.

(b) In furtherance of the purposes stated in subsection (a) of this section and in addition to any powers granted by the applicable business law under which it was formed, each company shall have the power:

(1) To sue and be sued, complain, and defend in its own name;

(2) To have perpetual succession unless a limited period of duration is stated in its articles;

(3) To adopt a seal, which may be altered at pleasure, and to use it or a facsimile thereof as permitted by law;

(4) Within the limitations hereinafter imposed and in the manner hereinafter prescribed, to borrow money and otherwise contract indebtedness, to issue its bonds, notes, debentures, or other obligations with or without security and if with security, to secure the payment thereof by mortgage, pledge, or deed of trust on all or any part of its property, assets, revenues, or income;

(5) To purchase, receive, lease as lessee, or in any other manner acquire, own, hold, maintain, sell, exchange, and use any real and personal property or any interest therein;

(6) To sell and convey, mortgage, pledge, lease as lessor, and otherwise dispose of all or any part of its property or assets;

(7) To make loans to any person and to establish and regulate the terms and conditions with respect to any loans and the charges for interest and service connected therewith, consistent with the provisions of this subchapter;

(8) To purchase, hold, sell, assign, transfer, mortgage, pledge, or otherwise dispose of bonds, securities, or evidences of indebtedness created by any individual or by any other capital development company, corporation, limited liability company, partnership, unincorporated association, trust estate, improvement district, or other entity or any governmental or municipal agency of any character;

(9) To purchase, hold, sell, assign, transfer, mortgage, pledge, or otherwise dispose of equity interests of any other entity or entities of this or any other state or government, subject to restrictions and limitations, if any, as may be imposed by the laws of this or any other state in which the company may do business and, while owner of an equity interest, to exercise all the rights, powers, and privileges of ownership, including the right to vote thereon;

(10) To make any contracts necessary or convenient for the exercise of the powers granted in this subchapter;

(11) To elect or appoint managers, officers, agents, and employees of the company and to define their duties and fix their compensation;

(12) To conduct its business and to have offices within or without the state;

(13) To accept gifts or grants of money, service, or real or personal property;

(14) With the approval of the board and by action of the governing board of the company, to make and alter governing documents in a manner not inconsistent with the articles or with the laws of this state for the administration and regulation of the affairs of the company;

(15) To encourage and promote the cultural, industrial, technological, scientific, commercial, agricultural, knowledge-based industry, venture capital, biotechnology, economic, and recreational development of the State of Arkansas;

(16) (A) To assist minority-owned and women-owned businesses in obtaining loans, venture capital, or other means of financial assistance.

(B) The terms and conditions of loans, venture capital investments, or financial assistance, including the charges for interest and other services, shall be consistent with the provisions of this subchapter.

(C) In order to comply with this requirement, efforts must be made to solicit for review and analysis proposed minority-owned and women-owned business ventures.

(D) The company's investment policies and underwriting standards may not be waived to inconsistently favor minority-owned or women-owned businesses;

(17) With the approval of the board, to make loans to or investments in entities that do not own property or do not have employees located in this state if the loan or investment satisfies one (1) or more of the purposes stated in subsection (a) of this section; and

(18) To do and perform any and all acts and things and to have and exercise any and all powers as may be necessary, convenient, or appropriate to effectuate the purpose for which the company is organized.