VI. Financial Qualifications of Applicant

To be granted a CPCN, an applicant for authority to provide resold interexchange services must demonstrate that it has a minimum of $25,000 of cash or cash equivalent to meet the firm's start-up expenses. An applicant must also demonstrate that it has sufficient additional resources to cover all deposits required by local exchange carriers (LECs) and/or interexchange carriers (IECs).

CSD represented in its protest that applicant's filing does not satisfy the financial criteria. Applicant subsequently provided an audited balance sheet that demonstrated that it has the required cash. Applicant also represented that no telecommunications carriers will require it to provide deposits in order to provide the proposed service. We conclude that applicant is financially qualified to provide the proposed services.