Minnesota Power is a founding investor in the Minnesota Community Capital Fund. Through our investment, we can help your business access up to $2,000,000 for start-up or expansion projects in our service area. Minnesota Power sponsors loan applications submitted by customers involved in energy-intensive, value-added operations, such as manufacturing, agricultural processing, and other innovative businesses. Borrowers must meet all MCCF credit and eligibility requirements.
Loan Amounts: Minnesota Power can sponsor loan amounts ranging from $50,000 to $2,000,000 (MCCF allows for up to $2,500,000 per loan with additional sponsors).
Allowable Uses Include: land and business acquisition, building construction or renovation, machinery and equipment, working capital and leasehold improvements.
Ineligible Uses Include: agricultural production, debt refinancing, equity investments in business enterprises, speculative real estate developments
Interest Rates: adjustable and fixed based on the level of risk.
Terms: Determined based on collateral.
Fees: A 1.75% origination fee and a 0.5% underwriting fee are charged at closing.
Program Priorities
Minnesota Power considers the following factors when determining whether to sponsor a project for MCCF financing:
- Positive impact on the region or community
- Magnitude of Minnesota Power’s services used
- Size of the capital investment
- Opportunity to build wealth through the creation of quality jobs
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The Minnesota Community Capital Fund (MCCF) got off to a healthy start in 2003 by providing a $2.5 million loan that helped Community Memorial Hospital in Cloquet expand its facility to provide better patient care. 