§__.42(a)(4) Gross Annual Revenue Determination for Small Business Start-up

§__.42(a)(4) – 3

Q: What gross revenue should an institution use in determine the gross annual revenue of a start-up business?

A3. The institution should use the actual gross annual revenue to date (including $0 if the new business has had no revenue to date). Although a start-up business will provide the institution with pro forma projected revenue figures, these figures may not accurately reflect actual gross revenue and, therefore, should not be used.

 

Source: Interagency Questions & Answers Regarding Community Reinvestment | July 2016

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