Homegrown Small Business Fund - Loan Program
Through a partnership between Homegrown Minneapolis, Minneapolis Community Planning and Economic Development and Metropolitan Consortium of Community Developers (MCCD), the Homegrown Small Business Fund provides financing and technical assistance to Minneapolis-based businesses that process, grow and manufacture food products.
"The Homegrown Small Business Fund provided an alternative financing option to help us manage our growth. Financing small businesses can be a challenge. It's nice to have such a valuable local resource in our community!" - Alissa Barthel & Julie Wellman, Co-Owners, Punk Rawk Labs
- The business must be located in and licensed to operate in Minneapolis
- The business must demonstrate ability to repay the loan and be an acceptable credit risk as determined by MCCD
- An applicant's property status must be a conforming use or a legal non-conforming use under the City's Zoning Ordinance
- The business must comply with all City, State and Federal Health and Food Safety codes and regulations
- Loan of up to $10,000 at a 2% interest rate
- 5 year maximum term
- Borrower match requirement is 10%
- Loan origination fee of $100 collected by MCCD at time of loan closing
- If at any time the business moves out of Minneapolis, the loan will become due immediately
- Processing/Manufacturing (raw materials, washing and drying of produce, packaging, storage containers, labeling, equipment)
- Distribution (leasehold improvements, approved off-site storage facilities, logistics equipment)
- Marketing (advertising, packaging materials, branding)
- Working Capital
Eligible expenses are not limited to the examples listed above.
Interested individuals should first determine their eligibility by contacting Kris Maritz, City of Minneapolis Business Advisor, MCCD at [email protected] or 612-843-3262. In addition to submitting a completed loan application, prospective recipients will need to work with MCCD to develop a proposal for the use of funds. MCCD will review the proposal, determine financial viability, and process the loan request.
Last updated Nov 19, 2018