Loan Types and Typical Ranges
Loans to support program and operational stability or program expansion or reimbursements. Typical range: $20,000 to $600,000
Lines of credit
Flexible financing to manage cyclical cash flow, such as to bridge the timing gap for receipt of a committed grant or contract. Typical range: $20,000 to $600,000
Short-term facility projects
Facility loans used for building improvements, repairs, equipment purchases, or to bridge to a capital campaign. Typical range: $50,000 to $1 million
Long-term facility mortgage
Flexible mortgages for building purchases, renovations, or construction for up 5-7 years. Typical range: $50,000 to $1 million
Loan Eligibility and Terms
- A 501(c)(3) nonprofit organization in Minnesota and the adjacent states of Wisconsin, Iowa, North Dakota and South Dakota, and Native nations sharing this geography are eligible to apply.
- We require an operating history and do not lend to startup organizations.
- Loans are available to nonprofits in all fields of service including health care, community development, housing, charter schools and other educational organizations, social service agencies, environmental, and arts organizations.
Loans are available for periods of a few months to 15 years, and longer amortizations are available. Loan structure, interest rates, collateral, and payment plans are customized to fit the organization’s business model, cash flow, and project plans.
Recovery Capital Loans
Propel Nonprofits has developed a new Recovery Capital Loan in response to the disruption of COVID-19. This new loan product was designed to be flexible, affordable, and structured to offer the time and patience needed for recovery and rebuilding. A portion of the loan amount is forgivable and will convert to a grant during the term of the loan.
- Learn more about Recovery Capital Loans
- Eligibility: Nonprofit 501(c)(3) organizations in
Minnesota and border communities. Priority to
organizations that are led by and serving Black,
Indigenous, and People of Color and are accountable
to their community and clients.
DEED Main Street Grants (Matching Funds)
Propel Nonprofits is a proud partner of The Minneapolis Foundation and LISC Twin Cities in a new grant opportunity to support small business recovery and rebuilding in three of the Minneapolis business corridors worst hit by the combined impact of COVID-19 and the destruction following the murder of George Floyd. These grants are made possible by funding from the Minnesota Department of Employment and Economic Development (DEED) through a 2021 Main Street Revitalization Program award.
Main Street grant funds can be used for repairing or renovating real estate property; building construction; landscaping and streetscaping; predesign and design; engineering; infrastructure; and related site amenities projects.
Propel’s Role: Eligible projects must have some outside funding from sources such as public or private grants or loans, developer equity, or insurance proceeds. All Main Street grants must be matched with non-state and non-federal funds at a rate of 2 to 1. As a CDFI, Propel can make loans that qualify as matching funds for these grants.
Where to start:
- Visit minnesapolisfoundation.org/main-street to review project and eligibility guidelines
- Contact Sarah B. Jackson at email@example.com to talk more about matching funds.
Note: Nonprofits who are seeking funding through The Minneapolis Foundation will need to be located along Lake Street, 38th Street/Chicago Avenue, and West Broadway Avenue. If your organization is seeking matching funds through a different foundation, please contact Sarah B. Jackson.
Arts & Culture
“Propel’s partnership was extremely helpful to my organization and it instantly increased confidence in myself, in my staff, and in my board that we were doing the right thing.”
Dr. Thomas Adams
Executive Director of Better Futures Minnesota
We have developed extensive expertise in lending to nonprofit organizations in the fields of arts and culture and charter schools.
Ready to apply?
Download and save a copy of our loan application to your computer, then email us the completed PDF.Nonprofit Loan Application