The commissioner, to the extent allowed by other law or contract, may grant available money that has been appropriated for socially or economically disadvantaged business programs to a guaranty fund administered by a nonprofit organization that makes or guarantees working capital loans to small business concerns owned and operated by socially and economically disadvantaged individuals. “Small business concern” and “socially and economically disadvantaged individual” have the meanings given them in 49 C.F.R. § 26.5. The purpose of loans made or guaranteed by the organization must be to provide short-term working capital to enable eligible businesses to be awarded contracts for goods and services or for construction-related services from government agencies.

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Terms Used In Minnesota Statutes 161.3212

  • Contract: A legal written agreement that becomes binding when signed.
  • Small business: means a business entity organized for profit, including but not limited to any individual, partnership, corporation, joint venture, association or cooperative, which entity:

    (1) is not an affiliate or subsidiary of a business dominant in its field of operation; and

    (2) has 20 or fewer full-time employees; or

    (3) in the preceding fiscal year has not had more than the equivalent of $1,000,000 in annual gross revenues; or

    (4) if the business is a technical or professional service, shall not have had more than the equivalent of $2,500,000 in annual gross revenues in the preceding fiscal year. See Minnesota Statutes 645.445

Money contributed from a constitutionally or statutorily dedicated fund must be used only for purposes consistent with the purposes of the dedicated fund.