Areas Served: Sibley, Nicollet, Le Sueur, Brown, Watonwan, Blue Earth, Waseca, Martin and Faribault Counties
The RNDC established the MicroEnterprise Loan Program to better serve the region.
The loan program is meant to provide capital for startup and expansion for the small business activity not served by traditional lenders.
Loans may be provided in conjunction with other financing.
This program keys not only on credit but includes one on one counsel ad guidance.
This technical assistance combination is necessary to provide the highest opportunity for success.
With technical assistance on a regular basis the Small Business Development Center (SBDC) can guide the business owner in management, marketing and financial matters, while striving to see the business succeed and grow.
With performance, these businesses can then enter more traditional avenues for credit and growth.
USE OF LOAN PROCEEDS MicroEnterprise loan funds may be used for all costs demonstrated as essential for the project, including working capital, inventory, machinery and equipment, building and leasehold improvements.
These funds may not be used for agricultural production (crop or livestock), debt, refinancing or restructuring, projects which have other financingavailable and projects that cannot demonstrate a reasonable chance of success or repayment ability.
Businesses may borrow up to $25,000 and have up to five years to repay the loan.
A business may borrow again when the first loan is paid in full.
Interest rates will be fixed for the term of the loan.
Maximum term is five years.
The Revolving Loan Fund Review Committee determines the interest rate but in most cases stays close to the existing prime lending rate.
Contact InformationRegion Nine Development Commission
Address: 10 Civic Center Plaza Suite 3
City: Mankato
State: Minnesota
Website:
http://www.rndc.org/RLF
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