Small Business Development Loan Program

Overview

The Small Business Development Loan Program provides loans for business expansions that result in the creation of new jobs.

Small business loans up to $5 million are made by the Minnesota Agricultural and Economic Development Board (MAEDB) through the issuance of industrial development bonds.

Eligibility and Terms

Manufacturing and industrial companies located or intending to locate in Minnesota and meet the federal definition of a small business (generally those with 500 or fewer employees) are eligible.

Loans up to a maximum of $5 million may be made for any one business. Generally, 20 percent of the project costs must be privately financed through equity or other sources.

Interest rate is the market rate of interest for similar securities at the time bonds are sold; rates are fixed for the term of the loan.

Real estate loans are for a maximum of 20 years; equipment is 10 years. Collateral requirements include the first mortgage on real property or equipment financed by MAEDB and personal guarantees of owners.

In some cases, additional security in the form of other liens or guarantees may be required by MAEDB. There is no MAEDB fee, but bond issuance costs of 4 percent are capitalized with the loan principal; 10 percent of bond issue must be escrowed.

Funds are disbursed upon execution of the required loan documents and sale of the bonds.

Applications are accepted on a year-round basis, but must be received by the first of each month to be considered at that month's MAEDB meeting.

Contacts

loan officers.jpgContact a Regional Representative

Each region of the state has an assigned senior loan officer who can answer questions about the Small Business Development Loan Program. Check the map to identify your region and then scroll down the page to find your contact.

Contact Our Business Finance Office

Reach us at 651-259-7430 or toll-free at 800-657-3858 or send us an email at business.finance@state.mn.us

For More Information

For personalized assistance on expanding your business in Minnesota, contact one of our business development specialists.


Senior Loan Officers by Region

Region 9

Region 1 Loan Officer
Counties: Kittson, Marshall, Norman, Pennington, Polk, Red Lake, Roseau
Contact:

Jordan Zeller 
651-259-7426 
Jordan.Zeller@state.mn.us

Region 2 Loan Officer
Counties: Beltrami, Clearwater, Hubbard, Lake of the Woods, Mahnomen
Contact:

Jordan Zeller 
651-259-7426 
Jordan.Zeller@state.mn.us


Region 3 Loan Officer
Counties: Aitkin, Carlton, Cook, Itasca, Koochiching, Lake, St. Louis
Contact:

Jordan Zeller 
651-259-7426
Jordan.Zeller@state.mn.us

Region 4 Loan Officer
Counties: Becker, Clay, Douglas, Grant, Otter Tail, Pope, Stevens, Traverse, Wilkin
Contact:

Jordan Zeller 
651-259-7426 
Jordan.Zeller@state.mn.us

Region 5 Loan Officer
Counties: Cass, Crow Wing, Morrison, Todd, Wadena
Contact:

Lisa Dargis 
651-259-7446 
Lisa.Dargis@state.mn.us

Region 6E Loan Officer
Counties: Kandiyohi, McLeod, Meeker, Renville
Contact:

Brad Simenson
651-259-7428
Brad.Simenson@state.mn.us

Region 6W Loan Officer
Counties: Big Stone, Chippewa, Lac Qui Parle, Swift, Yellow Medicine
Contact:

Brad Simenson
651-259-7428
Brad.Simenson@state.mn.us

Region 7E Loan Officer
Counties: Chisago, Isanti, Kanabec, Mille Lacs, Pine
Contact:

Carol Pressley
651-259-7427
Carol.Pressley@state.mn.us

Region 7W Loan Officer
Counties: Benton, Sherburne, Stearns, Wright
Contact:

Bart Bevins 
651-259-7424 
Bart.Bevins@state.mn.us

Region 8 Loan Officer
Counties: Cottonwood, Jackson, Lincoln, Lyon, Murray, Nobles, Pipestone, Redwood, Rock
Contact:

Brad Simenson
651-259-7428
Brad.Simenson@state.mn.us

Region 9 Loan Officer
Counties: Blue Earth, Brown, Faribault, Le Sueur, Martin, Nicollet, Sibley, Waseca, Watonwan
Contact:

Abdullahi (Moe) Mohamed 
651-259-7456
Abdullahi.Mohamed@state.mn.us

Region 10 Loan Officer
Counties: Dodge, Fillmore, Freeborn, Goodhue, Houston, Mower, Olmsted, Rice, Steele, Wabasha, Winona
Contact:

Carol Pressley
651-259-7427
Carol.Pressley@state.mn.us

Region 11 Loan Officers

Counties:

Carver


Brad Simenson 
651-259-7428
Brad.Simenson@state.mn.us

Counties:

Dakota

Jordan Zeller  
651-259-7426
Jordan.Zeller@state.mn.us

Counties:

Scott 

Abdullahi (Moe) Mohamed  
651-259-7456
Abdullahi.Mohamed@state.mn.us

Counties:

Washington, Anoka 

Carol Pressley 
651-259-7427
Carol.Pressley@state.mn.us

Counties:

Hennepin, Ramsey 

Bart Bevins  
651-259-7424 
Bart.Bevins@state.mn.us