|
|
|
Micro Enterprise Program |
| The Southwest Minnesota Foundation has just announced
the offering of a new Micro Enterprise Program to help entrepreneurs
develop small business and self-employment opportunities through
micro-loans and technical assistance. This program is the result
of a loan award from the U.S. Small Business Administration, with
accompanying technical assistance funding.
SWMF will offer loans of up to $35,000 to start-up or
existing for-profit small businesses who do not have reasonable access
to other sources of funds. Minimum loan size may be as low as $500
- $1,000, with average loan size expected to be $10,000. Staff
will work directly with entrepreneurs to develop their business plan,
and will provide on-going assistance and training. Women and
minorities are encouraged to apply.
Eligible uses of loan funds:
start-up costs, equipment, inventory, furniture and fixtures, or
working capital
Loan Terms:
 | Interest will be at market rate |
| Maximum SWMF micro-loan is $35,000, with maximum
other lender financing of $70,000 |
| Loan term shall be six years or less |
| Loans will be collateralized |
| Borrower should provide equity to the project |
| Borrower may be required to sign a personal
guarantee |
| Borrower will be responsible for legal costs of the
loan and filing fees |
| SWMF must be carried as a loss payee on property
insurance |
| Life insurance on the borrower may be required |
|
|
Micro-Enterprise Grant Program |
| The Micro-Enterprise Grant Program, funded by the
Minnesota Department of Trade and Economic Development (DTED) is again
being offered for requests up to $1,000 per business. These grants
are available for eligible small entrepreneurial businesses to be used
for training/technical assistance projects. Business
start-up must occur in order for the project to be eligible for
reimbursement. Funds are very limited for this program, due to
legislative cutbacks to the program.
Eligible Projects:
Technical assistance should increase an entrepreneur's capacity to
successfully manage and operate their business. It should nurture
the owner and the business, to increase its prospects for long-term
success. Assistance may be provided by staff or consultants, which
may include, but is not limited to, any of the following:
| Business Management/Fast-Trac programs |
| Training workshops |
| Technical assistance through accountants,
attorneys, consultants |
| Computer training |
| Web page development |
| Feasibility studies |
|
|
For more information on the above programs, please
contact the Ortonville EDA office at 839-2618 or eda@ortonville.net
Also, for other programs available through the
Ortonville EDA, please view the EDA page.
|
|
