Governor Walz signed Executive Order 20-15 today which is intended to offer emergency help for business owners affected by the temporary closures under Executive Order 20-04 and 20-08 who do not have enough cash flow to meet their basic family needs.
The order does a few things:
First, it directs DEED to create a Small Business Emergency Loan Program by making available $30 million from special revenue funds. These dollars will be used by DEED’s lender network to make loans of between $2,500 and $35,000 for qualifying small businesses. The loans will be 50% forgivable, and offered at a 0% interest rate. These emergency loans will be made by an existing network of lenders DEED works with across the state. DEED expects loan applications will available later this week through our lender network. Notably, we are asking all small business who need loans to apply with the SBA as well, to ensure we’re taking advantage of all the federal dollars available for Minnesota businesses.
Second, effective immediately, any local unit of government or lending partner that has revolving loan funds that were provided by the State Minnesota Investment Fund program appropriations, or Minnesota Investment Fund Disaster program appropriations, may over the next 90 days issue loans to retail and service providers. Full State guidelines for the use of these funds can be found at the Minnesota Investment Fund page. Local units of government must also follow their individual revolving loan fund guidelines. To determine if funds are available near you, please contact your local government directly.