Asset Building Loans for Entrepreneurs (ABLE) Grant Program is designed to support Low-interest, patient financing to support the purchase of vehicles, inventory (i.e., contract financing), to finance a remodel/ renovation, business succession, or co-op conversion
Donor Name: The Miami Foundation
State: Florida
County: Miami Dade County (FL)
Type of Grant: Grant
Deadline: 12/01/2022
Grant Size: $5,000 to $100,000
Grant Duration: 5 years
Details:
The purpose of this funding opportunity is to provide patient, low-interest financing in the format of loans ranging from $5,000 to $100,000 to historically underserved small businesses and nonprofit organizations in support of asset building. The interest rate of the loan is capped at 3% for for-profit businesses. Nonprofit borrowers will not be charged interest on the loan. Repayment terms vary from 1 to 5 years, depending on the loan use case. For many ABLE loans, funding will be disbursed directly to the supplier or vendor on behalf of the borrower to facilitate purchasing.
Below are details on each of the eligible asset-building use cases for ABLE loans:
- Vehicle purchase: Financing the purchase of a truck, van, bus, trailer, forklift, etc. for exclusively commercial purposes.
- Remodeling or renovation loan: Financing capital improvements to a façade, interior redesign, plumbing/electric upgrades, LEED/energy efficiency upgrades, ADA compliance, COVID/health safety protocols, etc.
- Inventory loan (i.e., contract financing): Financing the purchase of bulk goods, merchandise, textiles, raw materials, etc., primarily in order to fulfill larger contracts.
- Refinancing of predatory debt taken on for asset building: Restructuring and paying off prior high interest or extractive loan that was incurred by the business specifically for acquiring fixed assets. The asset(s) must still be in the possession of the business and in usable condition.
- Succession financing: Financing the transfer of an existing business between generations (i.e., family business) or purchase of legacy business by new borrower.
- Co-operative ownership conversion: Financing the conversion of a business into a worker cooperative or other similar shared worker ownership model.
Funding Information
Loans will be offered between $5,000 to $100,000, structured on a 1 to 5 year repayment timeline, depending on the purpose. Please note, not all loans will be fulfilled at the full amount requested.
Eligibility Criteria
- Eligible loan applicants include both nonprofit organizations (IRS 501(c)(3) nonprofits and those with a fiscal sponsor) and small businesses serving and located in Miami-Dade County that meet additional eligibility requirements below. Applicants will apply directly at Partners for Self Employment’s loan portal.
- Eligible organizations must be owned or operated by an individual(s) from a historically underserved background (i.e., Black, Latino, LGBTQ, veteran, or person with disabilities), must be in operation for at least 2 years, and must have an annual operating budget or revenue of $1 million or less.
For more information, visit The Miami Foundation.
