New Gap Funding Options for Minnesota Business Owners
26 Apr 2023
News, Client Feature Article
This article originally appeared on and was written for the Benton Economic Partnership by Golden Shovel Agency.
Minnesota Department of Employment & Economic Development (DEED) asked hundreds of state business owners a simple question: What would make it easier to start a small business? The resounding answer was, “help us hurdle the persistent gap in funding when we are just getting started.”
Now, help is on the way. The federal government has approved Minnesota for $97.5 million in small business funding through the State Small Business Credit Initiative (SSBCI). Based on research and dozens of listening sessions with stakeholders over the last year, DEED is committed to addressing significant market gaps in financing with this funding. The agency will launch six Treasury-approved programs under the new initiative to benefit small businesses. In most cases, businesses will access funding through approved lenders or other external financial institutions.
SSBCI Funding Programs
DEED is now accepting applications from businesses seeking financing from the Growth Loan Fund (GLF). GLF supports entrepreneurial growth throughout Minnesota by offering low-interest loans to early-stage businesses engaged in or committed to engaging in technological innovation in Minnesota.
Other new programs accepting applications include:
- The Automation Loan Participation Program provides companion loans to fill gap financing needs for small manufacturers to purchase machinery, equipment, or software to increase productivity and automation.
- The Direct Investment and Multi-Fund Investment Programs are two venture capital programs offered by the University of Minnesota investing in Minnesota-based seed- and early-stage businesses.
Sign up here to be notified when additional SSBCI programs are announced over the next few months.
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About the Author
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Ellen Williams is a Lead Copywriter for Golden Shovel Agency. Her unique skill sets expand from the foundation of science, academia, writing/editing, and project management. She is adept at breaking down articles and information precisely and clearly to educate general and professional audiences alike. Uniquely, while she is not practicing as a doctor, she has an M.D. and a strong laboratory science background.