Kandiyohi County & City of Willmar Economic Development Commission's (EDC) COVID-19 Business Assistance Loan (COBAL) Program
is for businesses located in Kandiyohi County that have been forced to close or significantly reduce their operations due to the executive orders issued by Governor Walz.
In response to the COVID-19 pandemic, the EDC created an emergency assistance fund for businesses that have been forced to close or significantly reduce their operations as a result of Executive Order 20-04-1 and Executive Order 20-08 issued by Minnesota Governor Tim Walz. Funds are on a first-come, first-served basis. The EDC retains final authority to determine if a business is eligible or not, and whether to approve a loan or not.
Loan Conditions
1.
Maximum loan amount is $5,000. Applicants may request funding one time under this program.
2.
Interest rate will be 0% percent.
3.
Recipients will be charged a 1% loan origination fee, which will be due from the borrower at the time of closing.
4.
Loans will be for a maximum length of 24 months. Borrowers may prepay without penalty.
5.
Loan repayments may be deferred for up to six months.
6.
Repayment terms for loans will be determined on an individual basis, so long as the total principal balance is repaid within 24 months of the date of the first draw of loan funds by the borrower.
7.
Upon default of the loan, or the permanent closure or sale of the business, the loan immediately becomes due and payable in full.
8.
Loans are not transferable unless the transfer is approved by the EDC Board.
9.
Loan payment method will be automatic withdrawal (“ACH”).
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