A person is eligible for a loan under AS 45.81.200 — 45.81.290 if

1. (1) the person can establish or demonstrate good character, capacity for financial responsibility, ability to provide sufficient collateral and knowledge of Alaska economic conditions;
2. (2) the person is a resident of the state; and

3. (3) in the judgment of the Department of Commerce, Community, and Economic Development

   1. (A) the business shows a definite potential for growth;
   2. (B) the borrower will be able to repay the loan; and
   3. (C) the loan will potentially create more jobs and provide additional services in the community.