Eligibility Businesses must meet one of the following criteria: 1) been certified to participate in the Angel Tax Credit (ATC) Program; 2) be identified by a venture or angel fund for investment; 3) be identified by an individual accredited investor for investment. Launch Minnesota grantees are strong candidates for this funding. The business must meet the ATC standard being engaged in or committed to engaging in technological innovation in Minnesota. Minnesota Loan Guarantee Program Minnesota Loan Guarantee Program (MNLGP) provides guarantees to enrolled lenders for up to 80 percent of principal on loans to eligible businesses. The program helps enrolled lenders mitigate risk so they can increase capital to small businesses located across Minnesota. Eligibility Borrowers need to be small businesses located in Minnesota that have fewer than 500 employees. Eligible borrowers may include state-designated charitable, religious, or other non-profit or philanthropic institutions; government-owned corporations; consumer and marketing cooperatives; and faith-based organizations, provided the loan is for a "business purpose" as defined by SSBCI 2.0 guidelines. Borrowers may also include sole proprietors, independent contractors, worker cooperatives, and other employee- owned entities, as well as Tribal enterprises, provided that all applicable program requirements are satisfied. Refer to the FAQs . Small Business Loan Participation Program DEED purchases 25 to 30 percent participations in loans made by approved non-depository Community Development Financial Institution (CDFI) and nonprofit lenders. Lenders are responsible for all credit decisions and loan terms. Borrowers must apply directly with an approved lender. Purchased participations will range from $10,000 to $250,000. Loan proceeds must be used for eligible business purposes, which may include equipment purchases, working capital and startup costs, as well as real estate purchase, construction, renovation, or tenant improvements of an eligible place of business. Loans may not be used for the purchase of goodwill, passive real estate, or for any other prohibited purpose identified by U.S. Treasury. Eligibility Eligible borrowers need to be located in Minnesota and have fewer than 500 employees. The loan must be used for eligible business purposes. The lender will request that the business certify it is compliant with SSBCI terms, including use of proceeds, that no conflict of interest exists, that no principal of the business has been convicted of a sex offense, whether the business is owned and controlled by one or more Socially and Economically Disadvantaged Individuals. The lender will also request certain demographic data for all individuals who own at least 25 percent of the business.
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