Southwest Initiative Foundation will award $2.3 million in grants for businesses and nonprofits in southwest Minnesota through the PROMISE Act funded by the Minnesota Legislature in partnership with the Minnesota Department of Employment and Economic Development (DEED). Grants up to $50,000 will be awarded to selected eligible businesses and nonprofits to be used for working capital to support payroll expenses, rent or mortgage payments, utility bills, equipment, and other similar expenses that occur in the regular course of business. This program drives fair economic recovery by boosting small, rural, and minority-owned businesses, which face the largest barriers to accessing capital and resources.
Applications for the PROMISE Act Grant program within the Southwest Initiative Foundation region are not currently open, but are anticipated to open mid-May. Sign up to be notified when applications open
Eligibility
Applications will be accepted online, and the program guidelines will be posted for further details. Eligibility does not guarantee a grant award. Funding and eligibility guidelines were established in law during the 2023 legislative session. If qualified applications exceed funds available, a randomized sample may be used to select grant recipients.
Applicants must meet all of the following minimum requirements to be eligible:
- Have primary business operating in the counties of Big Stone, Chippewa, Cottonwood, Jackson, Kandiyohi, Lac qui Parle, Lincoln, Lyon, McLeod, Meeker, Murray, Nobles, Pipestone, Redwood, Renville, Rock, Swift and Yellow Medicine, as well as Caŋṡayapi Oyate (Lower Sioux Indian Community) and Peżihutazizi Oyate (Upper Sioux Community).
- Be located in a community that has been adversely affected by structural racial discrimination, civil unrest, lack of access to capital, a loss of population or an aging population, or a lack of regional economic diversification.
- Be registered with the Minnesota Secretary of State, if required by Minnesota State Law. Sole proprietors operating their business under their own name do not need to be registered with the Secretary of State.
- Have gross annual revenue of $750,000 or less as documented in 2021 and 2022 tax returns.
- Maintain ongoing operations as of the date of application.
Grant amounts to be awarded are contingent upon 2022 gross annual revenue levels as follows:
- $10,000 for businesses with a gross revenue of $100,000 or less.
- $25,000 for businesses with a gross revenue of more than $100,000 but no more than $350,000.
- $50,000 for businesses with a gross revenue of more than $350,000 but no more than $750,000.
An individual business owner with multiple businesses may only submit one application for one business and may not receive more than one grant.
*For the purposes of this grant program, business means both for-profit businesses and nonprofit organizations that earn revenue in ways similar to businesses. This means a nonprofit organization that earns 30% or more of their revenue on an ongoing basis through a non-tax-deductible sales or dues in a fee-for-service model similar to for-profit businesses.
Contact Information
Briana Mumme
Economic Development Manager
320-583-5025
[email protected]
