To provide financial assistance and access to capital businesses and nonprofits directly impacted by flooding or tornados, located in disaster areas in the State.
No new authorizations may be made for this program. Existing projects with previous authorizations may complete their projects and may still achieve the program benefits subject to the program rules and any terms and conditions of their original award.
For profit, not-for-profit entities
- The Grow Missouri funds and the other "leveraging sources of funds" (private loans and equity) to be used for the project may not be used for refinancing existing debt or replacing existing equity. There is no prohibition on the use of "non-leveraging sources" (direct public sector funding) for refinancing.
- Non of the "leveraging sources of funds" can have been spent prior to the DED's approval of an application.
- The expansion project does not involve relocating the project facility from another community in Missouri, or if so, the existing community has endorsed the relocation to DED. Also, this project does not, or will not, cause the reduction of employment at a related facility located in Missouri.
- The qualified company (including affiliates) must have less than 500 full-time employees (full-time equivalent basis) at all locations, inside or outside Missouri, at the time of the application is submitted.
- Applicant must have applied to Small Business Administration (SBA) for disaster assistance and received denial letter.
Program Benefits/Eligible Uses
- Principal and interest payments may be deferred for up to 3 years [4 years for minority business enterprises (MBE) and woman business enterprises (WBE)] to aid in obtaining approval for the other project financing. After the initial deferral period, payments may be interest-only for up to 3 additional years. The maximum term of the loan is 8 years.
- The collateral may be subordinated to the primary lender.
- An approved applicant will have 120 days after DED's approval of the loan application to secure commitments of the other financing for the expansion project; therefore, there is no need to have the entire project financing secured when applying.
- Interest rates are 2% fixed rate per annum. (MBE/WBE is 0% rate.)
- Insurance proceeds can be considered as leverage for the purpose of this loan.
- The Grow Missouri Loan cannot exceed: (a) 10% of the total "leveraging sources of funding" (private loans and equity); (b) $3 million per qualfied company.
- Applications for the available funding of $10 million will be received at any time until the funding is exhausted
A qualified company approved for a Grow Missouri Loan must provide annual reports to DED. DED will provide additional information to the qualified company regarding the necessary reporting after the loan is approved.