Minnesota COVID-19 Small Business Assistance

If your business needs capital in this unusual economic downturn, consider the State of Minnesota programs available in addition to the federally-backed small business relief under the CARES Act.

Minnesota has rolled out generous, small business assistance programs.  Your business may be able to take advantage of both the federal and State of Minnesota programs. Based on your company’s need and activities these programs, in many cases, can “stack” on top of and in addition to the federal programs – meaning your business may be able to take advantage of both.

The Minnesota Small Business Emergency Assistance programs are outlined below.  Contact our Corporate group and your banker to discuss details and next steps.

Minnesota Small Business Emergency Loan Program

• 0% interest loans up to $35,000.

• 5-year payment term with potential forgiveness, and first payment is deferred for 6 months from date of receipt.

• To be eligible, businesses must be:

  1. Operating in sectors affected by the current economic downturn due to the COVID shutdown. Many business and industries qualify,  including restaurants and other foodservice, entertainment, and others;

  2. A business must be current on all of its debt obligations as of March 1;

  3. Willing to encumber collateral or personal guarantees up to 20% of the loan amount; and

  4. Unable to qualify for standard loan (not including federal COVID relief) elsewhere.

• If this seems like a good fit for your business, begin the application process here under the “Apply” tab.

Minnesota Small Business Loan Guarantee Program

• 80% guarantees for loans up to $250,000.

• Rate, term and collateral requirements vary by lender.

• May be used for equipment purchase/maintenance/repair, working capital, and more within the state.

• To be eligible, businesses must have 250 or fewer employees statewide.

• Begin the application process by locating a participating lender near you.

Local Assistance

• Saint Paul Bridge Fund

  • $7,500 grants for immediate expenses, including rent/mortgage payments, employee health benefits, leave & payroll, accounts payable, and supplier obligations.

  • Eligibility:

    1. gross revenue of $2 million or less;

    2. 20 employees or less; and

    3. operated in St. Paul for the last 3-6 months.

  • Contact: businessgrant@ci.stpaul.mn.us

• Minneapolis Assistance

  • Technical assistance for working with lenders and creditors, migrating business to online models, employment and layoff issues, and more.

  • All licensing late fees waived for food, taxi, liquor, wine, beer, and catering.

  • Contact: smallbusiness@minneapolismn.gov or (612) 673-2499.

Additional Information

• Minnesota Chamber of Commerce COVID-19 Toolkit

• MN Department of Employment and Economic Development COVID-19 Business Information Hub

These programs are evolving on a near-daily basis, so review the government sources and check back here frequently, as we continue to provide necessary updates for our business clients.

If your business needs capital or other assistance, contact your attorney and your banker to explore your options.  Messerli Kramer is here to help you find the resources you need.