The Minnesota Department of Employment and Economic Development (DEED) says that 1,020 small businesses throughout Minnesota received a Small Business Emergency Loan, which the department said on Friday, July 24, is different than the more recently announced Small Business Relief Grants.
The businesses that received the loans can be found here.
More than $27 million in loans were made from $30 million in special revenue funds allocated to the emergency loan program. The remaining $2.8 million was distributed to lenders to assist with loan administration and technical assistance expenses, according to information by the department.
DEED worked with lenders throughout Minnesota to implement the emergency loan program, which opened for applications in late March. Loans were issued to qualified businesses beginning in April and completed by June 30.
“Small Business Emergency Loans helped hundreds of businesses across Minnesota survive the initial impacts of the COVID-19 pandemic,” said DEED Commissioner Steve Grove. “DEED launched this program in record time to get emergency financial assistance out to businesses as quickly as possible. We could not have done this without the hard work and collaboration of our 22 lending partners throughout the state.”
The emergency loans went to help businesses that temporarily closed or stopped onsite services, such as customer dining at restaurants and personal care services, due to the pandemic. Loans were made by DEED's lender network for amounts between $2,500 and $35,000 to qualifying small businesses whose owners who lacked adequate cash flow to withstand temporary closure.
Under Minnesota’s phased Stay Safe plan, restaurants and bars have reopened for onsite customer dining and salons and other personal care businesses reopened for service.