Northland Foundation Business Finance

Business Loans

LoansThe Northland Foundation provides flexible, reasonably priced financing to eligible businesses, mostly in conjunction with other lenders. The main goals of the program are to stimulate private sector investments and to help borrowers create and retain jobs, which enhance the region’s economy.

There are two types of Business Loans. The first is a direct loan in which the Northland Foundation is the originator of the note. The second is a participation loan in which the Northland Foundation purchases a part of a loan from another lender.

  • Business loans generally range from $50,000 to $500,000.
  • Interest rates are negotiated fixed or floating rates, generally equal to or less than the rates charged by commercial banks.
  • Loan term and amortization are based on the assets financed, collateral securing the loan, and needs of the business. Amortizations will generally not exceed 15 years. Loan maturities for longer-term amortizations will generally include balloon payments.
  • Loans may be subordinated to the interests of institutional lenders to encourage their involvement.

If you have questions, email Michael Colclough, Director of Business Finance, or call (218) 723-4040 or 1-800-433-4045.