To carry out the purpose of the Program, the Department may issue loans in accordance with this section to qualified covered individuals. On a referral by an organization conducting an entrepreneurial development program under the New Start Grant Program established under § 11–606 of the Labor and Employment Article and subject to availability of funds in the Fund, a covered individual participating in that entrepreneurial development program may apply for a loan to establish a business. The referral shall include a recommendation by the organization conducting the entrepreneurial development program for the amount of the loan to be issued by the Department. The Department shall take a referral and recommendation provided by an organization conducting an entrepreneurial development program under this subsection into consideration when determining to issue a loan under this section but is not bound by the referral or recommendation. A loan issued under this section may not exceed $50,000. Subject to paragraph (2) of this subsection, the Department shall specify the terms of the loan. The loan may not require the provision of any collateral.