City of Pipestone
City of Pipestone Economic Development Authority
119 2nd Ave SW, Suite 1
Pipestone MN 56164
(507) 825-3324
jrjones@cityofpipestone.com
Web site: http://www.progressivepipestone.com

Small Cities CDBG Grant Funds: Grants and 1 % loans on selected properties in the downtown commercial area. Maximum grant & loan package $100,000. Can be combined with other programs. Funds and applications processed by the Southwest Regional EDC, Slayton.

Revolving Loan Fund provides gap financing at 5% interest, payments and interest can be deferred. Maximum 7 year term. 
Interest Buy Down: Interest rate deferments on traditional financing packages. 
TIF (Tax Increment Financing) available for eligible projects. Ehlers & Assoc. is the city's TIF consultant. 
Utility Subsidies: Water and sewer has been subsidized to selected firms. 
Tax Abatement has been used as an option on projects where TIF did not apply or was not the optimal choice for the firm. 
There are lots available in the Skyway Industrial Park.

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City of Edgerton
130 E, Howard St., PO Box 145
Edgerton, MN 56128
Phone: (507) 442-7891

Paul Ward EDA

pward863@iw.net

TIF (Tax Increment Financing) available for eligible projects. 
Tax Abatement has been used as an option on projects where TIF did not apply or was not the optimal choice for the firm. 
Revolving Loan Fund: Micro-loans of up to $15,000 at low interest for start up businesses in Edgerton City limits.
Free Housing Lots to eligible applicants through the Edgerton EDA. Cost of lots is forgiven 10% per year for 10 years. 
Industrial Park: Edgerton's Industrial park has several lots available at attractive rates and can be financed through the Edgerton EDA.

City of Jasper
105 Wall Street, PO Box 277
Jasper, MN 56144
Phone: (507) 348-3701

The Jasper Development Corporation works closely with the Peoples Bank in providing financing for development projects. 
Revolving Loan Funds are available through the Jasper Development Corp. and the Peoples Bank.

City of Ruthton
300 Smith Ave., PO Box 5
Ruthton, MN 56170
Phone: (507) 658-3902
e-mail: ruth2000@mnns.com

Small Cities CDBG Grant Funds: Grants and 4 % loans on commercial properties in the City of Ruthton. Maximum grant & loan package $50,000. Can be combined with other programs. 

Prairieland Economic Development Corp. (PEDC)
1 Prairie Drive
Slayton, MN 56172
Phone: (800) 507-9003 Fax: (507) 836-6309
E-mail: sdusek@prairielandedc.com
Web site: http://www.prairielandedc.com/

Prairieland is a private, non-profit corporation which is a Certified Development Company. PEDC is authorized to approve SBA 504 and IRP loans (Intermediary Relending Programs) in a 14 county service area, including Pipestone County. 

The SBA 504 program provides long term financing with fixed rates, low down payment, and reduced lender risk. Fixed assets including land and buildings, construction or renovation, machinery and equipment, and furniture and fixtures can be financed through the SBA 504 program for small businesses.

The IRP Loan Program is a fund created by Rural Development, and PEDC loans these funds to eligible small businesses for financing fixed assets or working capital. Projects financed through the IRP program should create and retain jobs in the area, provide long term, fixed rate capital to rural businesses, and generate tax revenue for cities and counties in the region.

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Southwest Regional Development Commission (SRDC)
2401 Broadway Ave.
Slayton, MN 56172
Phone: (507) 836-8547

The SRDC serves nine (9) counties including Pipestone County. They operate programs on transportation, Southwest Regional Solid Waste Commission, Southwest Minnesota Housing Partnership and the Southwest Area on Aging. In addition, the SRDC assists city, township and county governments with various development services writing and administering grants, conducting comprehensive plans, land use plans, water plans, solid waste plans, zoning ordinances, capital improvements and training public officials. 

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Southwest Initiative Foundation
15 Third Avenue NW
PO Box 428
Hutchinson, MN 55350
Phone: (800) 594-9480
Web site: http://www.swmnfoundation.org/

The Southwest Initiative Foundation (SWIF) serves the nineteen (19) counties in Southwest Minnesota including Pipestone County. The SWIF will consider funding applications for business projects which create new quality jobs, increase technology infrastructure, provide necessary services, increase wages paid to employees or transition entrepreneurial businesses from small to mid-size. Grants may be made under the following priorities: increase the potential of youth, increase community participation from people of color and the aging.

The Business Finance Program provides "gap financing" to eligible businesses. This financing supplements the dollars provided by financial institutions and investors and strengthens financial packages. Financing is intended to compliment, not compete, with traditional financing sources. SWIF is coordinating the State of Minnesota's Challenge Loan Program for southwest Minnesota. This program was conceived as an innovative system to provide loans to businesses and promote economic development in rural Minnesota. The decentralization of this state program to the regional level provides local decision-making about locally established priorities. The SWIF has received over $1 million in program dollars from the State of Minnesota. 
The Foundation has the following types of loans available: 
· Challenge/Revolving Loan - funds for start-up or expansion projects. 
· Micro Loan - loans for small local businesses. 
· Intermediary Re-lending Program (IRP) - USDA funds for start-up or expansion projects. 
· Technology Development Fund - funds to assist businesses in the development or expansion of products and technologies. 

Minnesota Small Business Development Center
Southwest State University
Marshall, MN 56258
Phone: (800) 642-0684 Fax: (507) 537-6094

Provides counseling, training, education and technology transfer to small business owners and managers. Trained staff can diagnose problems and will do referrals to a qualified counselor or directly provide service. Staff can assist with business plans, personnel management and scheduling. Most services provided at no charge. Loan packaging, access to data bases and customized marketing provided for a fee. 

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Agricultural Utilization Research Institute (AURI)
1501 State Street
Marshall, MN 56258-1598
Phone: (507) 537-7440
Fax: (507) 537-7441 
Web Site: http://www.auri.org/

The Agricultural Utilization Research Institute (AURI) is a nonprofit corporation created to strengthen rural Minnesota's economy and help businesses respond to market opportunities. AURI builds working partnerships with business innovators, agricultural groups and researchers to develop new and value-added uses for agricultural goods. The Institute provides technical expertise to clients and financial assistance for new product research and development.
AURI has the following programs available:
 

Applied Research Services
AURI's applied research services complement the technical and financial assistance given to clients in the field. The Initial Project Assessment, Market Assessment, and Technology Transfer program guidelines are available online.
 

Initial Project Assessment Program
The Initial Project Assessment Program (IPA) is designed to assist for profit businesses that need to address the technical, market or economic feasibility of a value-added ag product or process. This program is designed for projects that are driven by an individual client. The program's goal is to enable the particular business to be closer to commercializing a product and increase profits.
 

Market Assessment Program

The Market Assessment Program (MAP) is designed for nonprofit and for profit businesses. This program will identify and develop markets and test the economic or technical feasibility of an idea. These projects have the potential to impact a number of producers if results are positive. This program's efforts are driven by producers in cooperation with farm organizations, commodity groups, growers associations, agri-business groups, public entities, nonprofit organizations, and/or group(s) of producers.

Technology Transfer Program
The Technology Transfer Program assists in the transfer of technology developed at private and public entities to businesses within the state of Minnesota. The Technology Transfer Program is designed to assist in the transfer of technology to create value added agricultural opportunities for private businesses and/or producers utilizing Minnesota agricultural commodities. 

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Minnesota Technology, Inc.
1030 East Bridge Street
Redwood Falls, MN 56283
Phone: (507) 637-2010
Fax: (507) 637-5929 
Web Site: http://www.minnesotatechnology.org/

Minnesota Technology, Inc. offers growth-oriented companies the right solution for their business needs. We'll work with you to identify competitive and technical barriers, secure expertise and manage projects that streamline processes, improve product quality and reduce costs. Our staff of over 50 industry, business and technology specialists has expertise in manufacturing, technology, engineering, environmental performance, operations, management and marketing areas. We've helped more than 4,000 manufacturing and technology-based companies improve their businesses, adding $500 million to their bottom lines.

Technology Cluster Initiative
Minnesota Technology, Inc. (MTI) is investing $3 million during the next two years to support the development of existing and emerging technology-focused clusters in the state. Minnesota businesses are invited to work together and with other partners to seek funding for specific industry clusters in a Request for Proposals (RFP) process to be launched by MTI this summer. 

Lean Enterprise Assistance 
Expanding your business? Developing new products? Need new technology? Want to improve your productivity? If you're a growth-oriented, Minnesota company, our experienced manufacturing specialists will come to your door to help on-site and hands-on. We'll work with you to identify competitive barriers, secure expertise and manage projects that streamline processes, improve product quality and reduce manufacturing costs, rework, inventory and waste.

Advanced Technology 
We help Minnesota companies bring new products to market and implement critical technological
advances in their processes by using technology developed locally, nationally and internationally.
Along with our Technology Transfer Specialists, experts from around the globe can work one-on-one with companies to identify opportunities and offer solutions that can also dramatically improve existing products or processes. We can facilitate work with private research institutions, federal labs, the University of Minnesota and Minnesota State Colleges and Universities.

Customized Training Programs 
Minnesota West Community and Technical Colleges
1314 North Hiawatha Ave.
Pipestone, MN 56164
Phone: (507) 825-5471

Small Business Management Programs (SBM) provide education for small business owners, managers and employees on the management of small business. This training covers a wide variety of topics which can be tailored to the business concerns. Training often occurs at the business site to accommodate the business. There is a tuition charge based on state guidelines.

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Minnesota Department of Employment and Economic Development
500 Metro Square building 121 East 7th Place
St Paul MN 55101
Phone: Phone: 651-297-1291
800-657-3858
Fax: 651-296-1290
Web site: http://www.deed.state.mn.us 

Minnesota Investment Fund Ð Grants are awarded to local units of government who provide low interest loans to assist expanding businesses. All projects must meet criteria for at least 50% private investment, number of jobs created and wage thresholds. This program focuses on industrial, manufacturing and technology related industries. Funds can be used for land, buildings, equipment and training.

Redevelopment Grant Ð Grants are offered to development authorities to assist with costs related to redeveloping old industrial, residential or commercial properties. The program only applies to sites where there was a past use and the need to "recycle" the land for a more productive use exists. Grants can pay for land acquisition, demolition, infrastructure improvements, ponding, environmental infrastructure and other costs. 

Capital Access Fund Ð Loans to small and medium sized businesses are enrolled in the program by the lending institution to obtain additional financial protection through a special fund. Loans can be for industrial, commercial or agricultural purposes. 

Rural Challenge Program Ð Administered in Pipestone County by the Southwest Minnesota Foundation, provides low interest loans to small businesses located in, or intending to locate in, rural Minnesota. Maximum available: $200,000 for up to 50% of start-up or expansion costs. 

Small Business Development Loan Program Ð The Minnesota Agricultural and Economic Development Board (MAEDB) makes small business loans through the issuance of Industrial development bonds backed by a state funded reserve. Maximum available: $6 million, 20% of the project costs must be privately financed. Interest rates are fixed for the term of the loan at market rate for similar securities at the time the bonds are sold. Projects must result in significant new job creation.

Micro-Enterprise Assistance Grants Ð Up to $2,000 per micro-business is available to provide technical assistance which will increase the entrepreneur's capacity to successfully manage and operate the business. Service provided locally through Southwest Minnesota Foundation.

Minnesota Job Skills Partnership Ð Grants are awarded to educational institutions, with a matching contribution from businesses, to develop cooperative training projects which will support businesses located or intending to locate in Minnesota. $400,000 per project may be awarded to provide training for new jobs or retrain existing employees.

HELP Loans - A no interest, short-term loan program to provide Minnesota businesses the training needed for new or existing employees. Loans may be up to $250,000 and the business must contract with an outside public or private training institution.

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Minnesota WorkForce Center Systems
Phone: 1-888-GET-JOBS
Fax: 651-296-0994
Web site: http://www.mnworkforcecenter.org 

Work Opportunities Tax Credit - The Work Opportunity and Welfare-to-Work Tax Credit programs are designed to help individuals from certain target groups secure meaningful employment by providing a federal income tax credit incentive to employers who hire them.

Dislocated Worker program-Dislocated Worker Programs are included in the WorkForce Investment Act (WIA) Title I legislation effective July 1, 2000. Policies in this chapter are related to the Dislocated Worker Programs under WIA Title I and/or the State Dislocated Worker Program (MN Statutes; Chapter 268.975)

Alien Labor Certification Ð This program allows employers wishing to employ foreign workers in temporary non-agricultural occupations for a period of less than one hear to file a labor certification application directly with the Minnesota Department of Economic Security.

Minnesota Bonding Program Ð This provides individual fidelity bonds to employers for job applicants who may be denied coverage by commercial carriers because of a: record of arrest, conviction, of imprisonment; History of alcohol or drug abuse; Poor credit history; Lack of employment history; Dishonorable discharge

Disaster Unemployment Assistance Ð Disaster Unemployment Assistance provides temporary assistance to both workers and self-employed individuals whose work has been lost or interrupted as a direct result of a major disaster.

Unemployment Insurance Services Ð Apply for unemployment as soon as you become unemployed of your hours of work are reduced. Waiting to apply will likely cause you to lose benefits.

Minnesota Job Bank Ð This is the first phase of providing a comprehensive labor exchange service on the Internet by Minnesota's Job Bank, services allow: Searching for a job through the MN Job Bank order file; Access to other job banks; A facility for employers to get information on how to list a job or the other services available from their state Employment Service. Last year the Minnesota Department of Economic Security's Job Service listed over 151,000 jobs. Job Service filled more than 52,000 of those jobs, Job service also helped an additional 13,000 people find other employment.

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Economic & Employment Data

United States Small Business Administration
409 3rd Street SW
Washington, DC 20416
Phone: 1-800-U-ASK-SBA
http://www.sba.gov 

LOAN PROGRAMS
SBA Express Loans Ð Lenders participating in SBA Express can: use their own forms and processes to approve loans in amounts up to $150,000, Provide minimal paperwork to the SBA to obtain a 50 percent guaranty on the loan, and take most servicing actions without prior approval by the SBA

SBA Low Doc Loan Program Ð Further streamlines the making of small business loans. The maximum loan-$150,000. Calls for a response from the SBA within 36 hours of receiving a complete application. Guaranty percent follows 7(a) policy.

7(a) Loan Guaranty Program Ð is one of SBA's primary lending programs. It provides loans to small businesses unable to secure financing on reasonable terms through normal lending channels. The program operates through private-sector lenders that provide loans which are, in turn, guaranteed by the SBAÑ the Agency has no funds for direct lending or grants. A maximum amount of $2 million has been established for 7(a) loans. However, the maximum dollar amount the SBA can guaranty is generally $1 million. Small loans carry a maximum guaranty of 85 percent. Loans are considered small if the gross loan amount is $250,000 of less. For loans greater than $150,000, the maximum guaranty is 75 percent.

Community Express Ð Similar to SBA Express, but: Focuses primarily on Low and Moderate Income areas and SBA's New markets, Maximum Loan amount is $250,000, Standard SBA 7(a) guaranty applies (SBA Express guaranty limited to 50%), Technical assistance arranged/provided by lenders.

Certified Development Company (504) Loan Program Ð Provides growing businesses with long-term, fixed-rate financing for major fixed assets, such as land and buildings. A Certified Development Company is a nonprofit corporation set up to contribute to the economic development provide financing to small businesses. There are about 270 CDCs nationwide. Each CDC covers a specific geographic area.

CAPLines Loan Program Ð the umbrella program under which the SBA helps small businesses meet their short-term and cyclical working-capital needs. There are five short-term working-capital loan programs for small businesses under the CAPLines umbrella: 1. Seasonal Line-these are advances against anticipated inventory and accounts receivable help during peak seasons. 2. Contract Line-Finances the direct labor and material cost associated with performing assignable contract(s). 3. Builders Line-If you are a small general contractor or builder constructing or renovating commercial or residential buildings, this can finance direct labor ;and material costs. The building project serves as the collateral. 4.Standard Asset-Based Line Ð This is an asset-based revolving line of credit for businesses unable to meet credit standards associated with long-term credit. It provides financing for cyclical growth, recurring and/or short-term needs. 5. Small Asset-Based Line-This is an asset-based revolving line of credit of up to $20,000. It operates like a standard asset-based line except that some of the stricter servicing requirements are waived, providing the business can consistently show repayment ability form cash flow for the full amount.

Pollution Control Loan Program Ð Pollution Control Loans are intended to provide loan guarantees to eligible small businesses for the financing of the planning, design, or installation of a pollution control facility. This facility must prevent, reduce, abate, or control any form of pollution, including recycling.

Micro Loans - Provides very small loans to start-up newly established, or growing small business concerns. Under this program, SBA makes funds available to nonprofit community based lenders, which, in turn, make loans to eligible borrowers in amounts up to a maximum of $35,000. 

Banking Facilities in Pipestone County

  
      Pipestone

§         FIRST FARMERS AND MERCHANTS BANK

        Dale Roemmich

        107 E. Main St.

        Pipestone, MN 56164

        (507) 825-3301

        daleroemmich@ffmbank.com

§         FIRST STATE BANK SOUTHWEST

        Steve Werner, AVP/Manager

        202 2nd Ave. SE PO Box 68

        Pipestone, MN 56164

        (507) 825-0055