Ready for Rail

Central Corridor Small Business Forgivable Loan Fund

Purpose:
To provide a modest safety net for businesses that show a loss in sales due to the construction of the Central Corridor Light Rail Transit Line. The forgivable loan may be used for basic business expenses, including payroll, inventory, rent/mortgage, utilities, taxes, marketing, and insurance.

Who qualifies?
For-profit small businesses with no more than $2 million in annual gross sales that:
• Are independently owned (with four or fewer locations)
• Are located on the Central Corridor Light Rail Line (or within one block of the construction zone)
• Have been at their current Central Corridor location for one year or more
• Are focused on retail services (selling products or services directly to the consumer, including restaurants)
• Have experienced a decline in revenue due to the construction of the Central Corridor Light Rail Line

Forgivable loan amount:
Up to $20,000. Loan amounts will depend on demand and demonstrated loss of revenue.

Structure and terms:
Distributions will be structured as 0% loans that will be forgiven at the rate of 20% for each year the business stays on the Central Corridor Light Rail Line (Loan is 100% forgiven after five years). Loans will be five-year repayable obligations for the business owner if forgiveness terms are not met. The loan balance will be payable upon the sale of the business or its relocation from Central Corridor.

When to apply:
Forgivable loan applications may be submitted 60 days or more after construction has started in your immediate area.

How to apply:
Minneapolis based qualifying businesses should follow these steps:
• Download the application [linked to R4Rapplication.pdf]
• Complete the application, provide all the requested documents and drop off the full application at Metropolitan Consortium of Community Developers (MCCD) at 3137 Chicago Avenue, Minneapolis, MN 55407
• Contact Iric Nathanson at the Metropolitan Consortium of Community Developers (MCCD):
Phone: 612-789-7337 ext 14
Email: inathanson@mccdmn.org

Ready for Rail Business support and services:
For more information about the business support and resources available visit: www.readyforrail.net
Call the construction hotline with construction related comments or to report an incident: 651-602-1404
MCCD is the program manager for loans provided to qualifying businesses located in Minneapolis (see qualifications listed above). Qualifying businesses located in St. Paul should contact Neighborhood

Development Center at:
Hotline: 651-379-8118
Email: R4Rforgivableloanprogram@ndc-mn.org
Web: www.ndc-mn.org/ReadyForRailForgivableLoan

Download the Central Corridor Forgivable Loan Program Flyer
Download the Central Corridor Ready for Rail Loan Application