Areas Served: Allen, Barren, Breckinridge, Butler, Caldwell, Carroll, Christian, Crittenden, Grayson, Hancock, Henry, Hopkins, Livingston, Logan, Lyon, Meade, Metcalfe, Muhlenberg, Nelson, Ohio, Owen, Simpson, Todd, Trigg, Trimble and Warren Counties.
In partnership with Community Ventures Corporation, a non-profit community based lender, the Kentucky Cabinet for Economic Development has expanded the Kentucky Micro-Enterprise Loan (KMEL) program, which provides business loans and valuable technical assistance to entrepreneurs interested in starting or expanding a business.
Eligible Businesses: To be eligible for loans through this program, a business must employ fifty or fewer employees and be located in one of the following Kentucky counties: Allen, Barren, Breckinridge, Butler, Caldwell, Carroll, Christian, Crittenden, Grayson, Hancock, Henry, Hopkins, Livingston, Logan, Lyon, Meade, Metcalfe, Muhlenberg, Nelson, Ohio, Owen, Simpson, Todd, Trigg, Trimble and Warren Counties.
Special emphasis is given to entrepreneurs in one or more of the following target groups: women-owned businesses, veteran-owned businesses, ethnic-minority owned businesses, microenterprises (companies with five or fewer employees), businesses owned by individuals classified with disabilities and businesses located in a U.S. Small Business Administration HUBZone qualified economically distressed area.
Maximum Loan Amount: $50,000 Terms and Interest Rate: The maximum term for a micro-loan is six years.
However,the term may vary depending upon the size of the loan, the planned use of funds, the needs of the small business, etc.
The interest rate will vary depending upon different factors, but will generally be between 7.5 percent to 8.5 percent.
Uses of Loan Proceeds: Funds can be used for, among other purposes, working capital, equipment purchases, and inventory purchases.
Business Assistance: Borrowers applying for micro-loan financing may be required to fulfill training and/or planning requirements before a loan application is considered.
If approved, ongoing technical assistance may be a requirement as well.
Collateral: Typically, the personal guarantee of the business owner and some type of collateral will be required.
Contact InformationKentucky Cabinet for Economic Development
Address: 500 Mero St
City: Frankfort
State: Kentucky
Website:
http://www.thinkkentucky.com/KYEDC/kybizince.aspx?param=0
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