Urban Initiative Loan Program
The Urban Initiative Loan Program primarily assists minority-owned and -operated businesses and others that will create jobs in low-income areas of the Twin Cities. Eligible applicants are minority-owned and other businesses creating jobs for low-income people in:
|
|
The Urban Initiative Board has entered into partnerships with several local nonprofit organizations, which then provide loans and technical assistance to start-up and expanding businesses. Each dollar of state funds must be matched by at least an equal amount of private funds. Generally, this match is provided in loan through the participating nonprofit partner. The maximum total loan available through the program is $300,000. The state may contribute 50 percent of the loan up to $150,000. Interest rate is between 2 percent and 10 percent. Terms are generally consistent with other sources of project financing. Each nonprofit has authority to determine specific interest rate and collateral requirements.
Nonprofit partners accept applications on an ongoing basis. Nonprofit partners include:
- African Development Center, 612-333-4772
- American Indian Economic Development Fund, 651-917-0819
- Central Minnesota Development Company, 763-784-3337
- Metropolitan Economic Development Association, 612-332-6332
- Milestone Growth Fund, 612-338-0090
- Minneapolis Consortium of Community Developers, 612-789-7337
- Neighborhood Development Center, 651-291-2480
- Riverview Economic Development Association, 651-222-3727
- SPARC, 651-488-1039
- WomenVenture, 651-646-3808
For further information, contact Bart Bevins at 651-297-1170 or toll-free at 800-657-3858.
See also:
- Annual
Report
-
Report to the Minnesota Legislature, 2006 - Urban Initiative Loan - Annual Program Summary, primarily for legislators.