In response to the Coronavirus (COVID-19) outbreak, the North Dakota Opportunity Fund (NDOF) Steering Committee has approved a disaster assistance loan program for small businesses located in the consortium communities that are adversely impacted by the pandemic.
The North Dakota Opportunity Fund leverages private financing to help North Dakota small businesses and manufacturers attain the loans and investments needed to expand and create jobs. A consortium of 38 North Dakota municipalities has received funding for operating this loan participation program. Lewis & Clark Development Group administers the fund.
“We all know small businesses have been hit hard by this unfolding disaster. But I don’t think we fully appreciate or have yet to really understand how bad it is for many small businesses,” says Lewis and Clark Development Group Executive Director Brent Ekstrom.
TERMS & CONDITIONS
Under the program, small businesses…
- Must show they’ve been adversely affected by the pandemic
- May apply for up to $50,000 in loans
- Will pay zero percent (0%) interest
- Will not make any payments for the first six months; after six months, the loan will be four percent (4%) amortized for up to five years
Typically, businesses may use the North Dakota Opportunity Fund for construction, real estate, equipment purchases, working capital, and for interim SBA 504 loans. However, under the terms of the disaster loan program, impacted businesses can seek loans only for working capital.
FILLING THE GAP
“We are providing near immediate funding for business affected by this pandemic. These funds are aimed at filling the gap between when small businesses make an application for the SBA Disaster Assistance Loan and when they get funded or in the event they are unable to get funding through SBA,” adds Ekstrom. “Our philosophy at Lewis and Clark Development Group in normal times is it is best to do more together. During these times, our commitment is to do whatever it takes to keep small businesses afloat through this crisis.”
ABOUT THE NORTH DAKOTA OPPORTUNITY FUND
The North Dakota Opportunity Fund leverages private financing to help North Dakota small businesses and manufacturers attain the loans and investments needed to expand and create jobs.
The Fund originated as part of the Small Business Jobs Act of 2010, which created the State Small Business Credit Initiative (SSBCI).
Small businesses in the communities listed on this accompanying map are members of the consortium and eligible to apply for disaster assistance loans.