Latino Owned and Grown

Programs

Lending

LEDC is certified as a Community Development Financial Institution (CDFI) by the U.S. Treasury and is a Latino-based CDFI in Minnesota providing loans to Latino-owned businesses across the state of Minnesota.

Latino owned and grown

History of the program:

In 2013, LEDC launched its own lending program providing access to capital to entrepreneurs who are unable to access financial products through traditional lending institutions. Today, LEDC’s lending program continues to be a means to advance economic justice and social integration for Latinos in Minnesota.

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Loan process

Learn more about the loan assistance from LEDC (SPANISH).

Interest Rates and Terms

Interest rates for loans range from 3% to 12% or the maximum permitted by law depending upon the requirements of dedicated funding sources as well as market conditions and risk. Loan terms are generally three to five years, fully amortized. (Longer terms and/or amortizations are available for a limited number of transactions, primarily for real estate financing.)

How an applicant may use the funds

Inventory
Equipment
Real estate for commercial purposes
Leasehold improvements
Building rehab for commercial purposes
Working capital
Purchase of a business or franchise
Refinance of existing debt at more reasonable rates and terms for the business
In very limited circumstances, refinancing the payout of a departing business partner

How an applicant may not use the funds

Financing the payout of a family member departing from the business
Payment for educational purposes unless directly tied to an immediate business income opportunity
Personal expenses
Gambling businesses
LEDC does not fund X-rated businesses, selling drug paraphernalia, or usurious money services

Find out if you are ready for a loan:

Clicking on the Pre-Application button below will take you to a short questionnaire that will screen for basic eligibility and, if eligible, a loan officer will request the submission of a full loan application to underwrite your loan.

Note: Please note that submitting this pre-application will allow us to determine if you are ready or not to apply for a loan. This pre-application is not an indication of eligibility and does not mean that a loan will be approved or funded. Further documents are required to complete the formal Loan Application. The time it takes to process a loan application will depend on the volume of applications received by LEDC.

For questions and to schedule an appointment, contact us at: