Eligibility Funds are awarded to local units of government that provide loans to assist expanding businesses. Cities, counties, townships, selected economic development organizations and recognized Indian tribal governments are eligible. Project requirements include: • All projects must meet minimum criteria for private investment, number of jobs created or retained and wages paid. • At least 50 percent of total project costs must be privately financed through owner equity and other lending sources. • Although loan proceeds may be used to help purchase land and buildings, most MIF loans are used to finance equipment. The size of an award depends on variety of factors including (but not limited to) Minnesota’s competitiveness, local economic conditions, job creation and wage levels. All expenditures and hiring related to the MIF assistance may not occur until funding has been formally approved.
Emerging Entrepreneur Loan Program 651-259-7338
The Minnesota Emerging Entrepreneur Loan Program (ELP) supports the growth of businesses owned and operated by minorities, low-income persons, women, veterans and/or persons with disabilities. DEED provides grant funds to a network of nonprofit lenders which use these funds for loans to start-up and expanding businesses throughout the state. The program has additional goals of providing jobs for minority and/or low-income persons, creating and strengthening minority business enterprises, and promoting economic development in low-income areas. Program Requirements DEED provides ELP funding to certified nonprofit partners to make loans to Minnesota businesses that are majority-owned and operated by minorities, low-income persons, women, veterans and/ or persons with disabilities. Businesses must apply directly with a certified lender, although DEED may be able to assist in identifying an appropriate lender. Once the lender approves the loan, they will forward the loan package to DEED for approval by the commissioner and disbursement of funds for the project. Eligibility In order to qualify for an ELP loan businesses must be based in Minnesota and majority owned and operated by one or more Minnesota residents who are minorities, low-income persons, women, veterans and/or persons with disabilities. The program will finance a variety of start-up and expansion costs, including normal expenses such as machinery and equipment, inventory and receivables, working capital, new construction, renovation, and site acquisition. Financing of existing debt is not permitted.
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