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active State Loan

Minnesota Emerging Entrepreneur Loan Program (ELP)

Minnesota Department of Employment and Economic Development (DEED)

$5K–$150K

The short version

MN emerging-entrepreneur loans

DEED's Emerging Entrepreneur Loan Program (ELP) channels state funds through a statewide network of certified nonprofit lenders, Tribal economic development entities, and Community Development Financial Institutions (CDFIs) to make loans to start-up and expanding Minnesota businesses. ELP specifically supports businesses owned and operated by Minnesota residents who are minorities, low-income persons, women, veterans, and/or persons with disabilities. DEED provides funds of $5,000 to $150,000 per project; businesses apply directly to a certified lender rather than to DEED. Each certified lender serves a particular community or region and may set its own loan sizes, target populations, and terms.

Funding type
Loan
Level
State
Amount range
$5,000 – $150,000
Realistic amount
Most ELP loans fall well under the $150,000 ceiling; many certified lenders focus on micro a…
Deadline
Rolling — apply directly to a certified lender
Status
active
States
Minnesota
Payment model
loan

Who qualifies

What it covers

Eligible expenses

  • Working capital
  • Equipment and assets
  • Inventory
  • Start-up and expansion costs
  • Other business purposes as approved by the certified lender

Ineligible expenses

  • Uses prohibited by the individual certified lender's policies
  • Non-business / personal expenses

How to apply

  1. 1

    Confirm ownership and residency eligibility

    Verify the business is Minnesota-based and owned/operated by Minnesota residents who are minorities, low-income persons, women, veterans, and/or persons with disabilities.

    ~1 hrs

  2. 2

    Identify a certified ELP lender

    Find a certified lender serving your community or region. DEED maintains the certified-lender list and can help match you (ELP@state.mn.us). Lenders differ by geography and target populations.

    ~2 hrs

  3. 3

    Apply directly to the certified lender

    Complete the lender's loan application and provide a business plan, financial statements/projections, and the lender's required documentation. The lender underwrites and structures the loan using DEED funds plus its own capital.

    ~10 hrs

  4. 4

    Close and draw the loan

    Upon approval, execute the loan agreement with the certified lender. Many lenders also offer technical assistance alongside the financing.

    ~3 hrs

Insider tip

Because ELP runs through certified lenders rather than DEED directly, your choice of lender matters more than the program rules: each lender serves specific communities, sets its own loan ceilings (often below $150K), and frequently bundles free technical assistance. Email ELP@state.mn.us to get matched to a lender that targets your population and region — applying to the wrong lender wastes time even if you qualify for the program.

Deadline & timing

There is no single application deadline. Businesses apply directly to a certified ELP lender (nonprofit, Tribal economic development entity, or CDFI) at any time; DEED can help identify an appropriate lender (ELP@state.mn.us). Each lender has its own intake process and may have funding availability limits.

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Last reviewed 2026. GrantCompass is an independent funding-discovery tool and is not affiliated with any government agency. Always confirm details on the official program page.