Minnesota Investment Fund

Minnesota Investment Fund

Offers Minnesota manufacturers and technology firms financing support for growth and job retention.

The Minnesota Investment Fund (MIF), administered by the Minnesota Department of Employment and Economic Development (DEED), provides low-interest state loans to support job creation and retention in industrial, manufacturing, warehousing, distribution, and technology-related businesses statewide. Funds are awarded to local units of government — cities, counties, townships, or recognized tribal governments — which then on-lend to the qualifying business at negotiated interest rates. The program accepts applications year-round on a rolling basis, with DEED reachable through the Office of Business Finance at 800-657-3858.

A business cannot apply to DEED directly; the local government where the project is located must apply on the business's behalf after passing a council resolution of support. At least 50 percent of total project costs must be covered by private financing, with most awarded projects reaching 70 percent or more in private funds. Loan terms run up to 20 years for real estate and up to 10 years for machinery and equipment. Projects that receive $500,000 or more in MIF assistance are subject to prevailing wage requirements. Collateral is required, and businesses must submit annual progress reports each January.

To qualify, a business must not have started the project before applying, must demonstrate viable location alternatives outside Minnesota, and must commit to minimum levels of private investment, job creation or retention, and wage levels within two years of the benefit date. The MIF is designed for projects that would not otherwise proceed using only local market financing. It is a loan instrument — not a grant — and full repayment is expected.