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Eligibility
Applicants must be enrolled members of a federally recognized Minnesota-based band or tribe. Businesses must be wholly owned by an enrolled member and can be located anywhere in the state, although the bulk of the loans are made to businesses on a reservation.
To Apply
DEED accepts applications on an on-going basis, subject to the availability of funds. The department evaluates all applications and forwards a recommendation to the appropriate tribal council for final consideration. The Minnesota Chippewa Tribe (MCT) has authority to use IBLP funds to make loans to businesses owned and operated by an enrolled member of the following five participating bands - Bois Forte, Fond du Lac, Grand Portage, Mille Lacs and White Earth. 4-Directions Development has authority to use IBLP funds to make loans to businesses owned and operated by an enrolled member(s) of Red Lake Band of Chippewa while Leech Lake Financial Services has the same authority with Leech Lake Band of Ojibwe members.
Project Requirements
Loan proceeds may cover startup and expansion costs, including normal expenses such as machinery and equipment, inventory and receivables, working capital, new construction, renovation, and site acquisition. Financing of existing debt is not permitted.
Terms and Interest
Interest rate may be between 2% and 10%. Terms for real estate purposes are limited to no more than 20 years. Non-real estate loans are limited to no more than 10 years. Loans may not exceed 75% of the project's costs or the balance of the funds available to any one tribe.
Owners must provide a portion of the financing needed to undertake the project. The amount varies between 5% and 10%, depending upon the requirements of each band or tribe.
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Application Process
Applicants must be enrolled members of a federally recognized Minnesota-based band or tribe. Businesses must be wholly owned by an enrolled member and can be located anywhere in the state, although the bulk of the loans are made to businesses on a reservation.
Application Process by Band
DEED and the Leech Lake Band of Ojibwe, the remaining Minnesota Chippewa Tribes (MCT) via MCT in Cass Lake and Red Lake Band of Chippewa have executed agreements that authorize each entity to operate the loan program on behalf of the department.
Members of the Leech Lake Band of Ojibwe
Enrolled members of the Leech Lake Bank of Ojibwe reservation should contact Robert Aitken III, Leech Lake Financial Services, at 218-339-3940 for application forms and the loan process.
Members of the Minnesota Chippewa Tribe excluding Leech Lake
Enrolled members of the Bois Forte, Fond du Lac, Grand Portage, Mille Lacs and White Earth reservations should contact the Minnesota Chippewa Tribe Finance Corporation, at 218-335-8582 for application forms and the loan process.
Members of the Red Lake Band of Chippewa
Enrolled members of the Red Lake Band of Chippewa Indians should contact 4-Directions Development at 218-679-4332 for application assistance and loan processing.
For Other Minnesota Tribes and Bands
For those members of the other Minnesota tribes and bands, DEED accepts applications on an ongoing basis, subject to the availability of funds. Interested business owners may submit an application by contacting Lori Hanson, Program Manager, at 651-259-7823.
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Tribal Contacts
Minnesota Chippewa Tribe Contacts
Members of one of the five participating bands (Leech Lake Band of Ojibwe excluded) that make up the Minnesota Chippewa Tribe should contact the MCT Finance Corporation at 218-335-8582.
Other Tribal and Band Contacts
Other tribes and bands have developed individual economic development programs that meet the particular needs of their members. Contact the following for specific information:
Leech Lake Band of Ojibwe
218-339-3940
Lower Sioux Community
507-697-6185
Prairie Island Community
651-385-2554
Red Lake Band of Chippewa
218-679-4332
Shakopee-Mdewakanton Community
952-445-8900
Upper Sioux Community
320-564-3853
Other Financing and Technical Assistance
Contact the Minnesota American Indian Chamber of Commerce at 612-877-2117 for other financing and technical assistance.
Contact the Minnesota Indian Affairs Council at 651-539-2202 for the St. Paul Office or 218-205-4752 for the Bemidji Office for possible technical assistance.
