During the 2010 Legislative Session, a law was passed which provides loans to small businesses affected by an employee’s deployment and returning veterans working to establish a small business of their own. State Sen. Gary Kubly, DFL-Granite Falls, said both types of loans available under the Minnesota Reservist and Veteran Business Loan Program are interest-free and available.
“When military personnel are called away to active duty, they are leaving behind a job. This affects not only their family budgets, but also the businesses where they work,” explained Sen. Kubly. “By making these loans available to businesses and veterans, we recognize the valuable contribution these workers make to our economy, especially in rural areas. These loans will help small businesses stay afloat after losing a key employee or help a soldier build their own business when they return home.”
Sen. Kubly noted that the loans are administered through the Department of Employment and Economic Development. Small businesses with either fewer than 20 employees or less than $1 million in annual gross revenue (less than $2.5 million if the business is a technical or professional service) are eligible. Both the business and start-up business loans are one-time, interest-free loans, available from $5,000 to $20,000. Terms are for 4½ years, with no repayment over the first 1½ years and equal monthly payments for the remaining three years.
Business loans are available for businesses operating in Minnesota that one or more essential employees have received orders for active service of 180 days or more. An essential employee must be a military reservist, an owner or employee of the business, and have managerial or technical expertise critical to the daily operations of the business. The business must be sustaining or likely to sustain economic harm from the deployment, meaning they are not able to meet obligations, pay expenses, or manufacture or market products or services.
Start-up business loans are available to businesses that are owned and operated by a recently separated veteran (after September 11, 2001). To qualify for this program, a veteran must have been on active duty on or after 9/11 and have been separated under honorable conditions after having been on active duty for at least 181 consecutive days or the full active duty period (or after disability incurred while on active duty).
“I hope local businesses and veterans will take advantage of these loan opportunities to help during these tough economic times,” said Sen. Kubly. “This is a great resource to support our small businesses, which are the lifeblood of our rural Minnesota economy.”
Applications for these loans are available at www.positivelyminnesota.com under “reservist and veteran business loan.” Questions about this loan program can be directed to Jeff Nelson at 651-259-7523 or jeff.m.nelson@state.mn.us.
Anyone with comments or questions can contact Sen. Kubly at 301 State Capitol, 75 Rev. Dr. Martin Luther King, Jr. Blvd., St. Paul, MN 55155-1606, sen.gary.kubly@senate.mn or 651-296-5094.
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During the 2010 Legislative Session, a law was passed which provides loans to small businesses affected by an employee’s deployment and returning veterans working to establish a small business of their own. State Sen. Gary Kubly, DFL-Granite Falls, said both types of loans available under the Minnesota Reservist and Veteran Business Loan Program are interest-free and available.
“When military personnel are called away to active duty, they are leaving behind a job. This affects not only their family budgets, but also the businesses where they work,” explained Sen. Kubly. “By making these loans available to businesses and veterans, we recognize the valuable contribution these workers make to our economy, especially in rural areas. These loans will help small businesses stay afloat after losing a key employee or help a soldier build their own business when they return home.”
Sen. Kubly noted that the loans are administered through the Department of Employment and Economic Development. Small businesses with either fewer than 20 employees or less than $1 million in annual gross revenue (less than $2.5 million if the business is a technical or professional service) are eligible. Both the business and start-up business loans are one-time, interest-free loans, available from $5,000 to $20,000. Terms are for 4½ years, with no repayment over the first 1½ years and equal monthly payments for the remaining three years.
Business loans are available for businesses operating in Minnesota that one or more essential employees have received orders for active service of 180 days or more. An essential employee must be a military reservist, an owner or employee of the business, and have managerial or technical expertise critical to the daily operations of the business. The business must be sustaining or likely to sustain economic harm from the deployment, meaning they are not able to meet obligations, pay expenses, or manufacture or market products or services.
Start-up business loans are available to businesses that are owned and operated by a recently separated veteran (after September 11, 2001). To qualify for this program, a veteran must have been on active duty on or after 9/11 and have been separated under honorable conditions after having been on active duty for at least 181 consecutive days or the full active duty period (or after disability incurred while on active duty).
“I hope local businesses and veterans will take advantage of these loan opportunities to help during these tough economic times,” said Sen. Kubly. “This is a great resource to support our small businesses, which are the lifeblood of our rural Minnesota economy.”
Applications for these loans are available at www.positivelyminnesota.com under “reservist and veteran business loan.” Questions about this loan program can be directed to Jeff Nelson at 651-259-7523 or jeff.m.nelson@state.mn.us.
Anyone with comments or questions can contact Sen. Kubly at 301 State Capitol, 75 Rev. Dr. Martin Luther King, Jr. Blvd., St. Paul, MN 55155-1606, sen.gary.kubly@senate.mn or 651-296-5094.
