EAST METRO JOB CREATION LOAN FUND
Creating jobs that can support a household
As a complement to its grantmaking and community leadership work, the Foundations use loans to address urgent community needs.
Job creation emerged as a critical East Metro need, when Saint Paul suffered a 13.4 percent job loss between 2000 and 2011. In response, the Foundations established a new loan fund to invest in efforts to bring new jobs to the Saint Paul area.
With $2.1 million in capital, the East Metro Job Creation Loan Fund is working through community partners to act as intermediaries for job creation capital: Neighborhood Development Center (NDC) and Metropolitan Economic Development Association (Meda).
Meet our partners
Get to know the Metropolitan Economic Development Association and Neighborhood Development Center.
Metropolitan Economic Development Association
Meda's mission is to help minority entrepreneurs succeed. Meda has approved $1,063,000 in loans to 13 businesses as of 2015.Learn more about Meda
Neighborhood Development Center
NDC believes in the power, drive and daring of local entrepreneurs to transform their lives and revitalize their neighborhoods. NDC has approved $862,000 in loans to 14 businesses as of 2015.Learn more about NDC
How the Job Creation Loan Fund makes a difference
The Foundations approved loans of slightly more than $1 million each to NDC and Meda. They will use the capital to make loans ranging from $20,000 to $150,000 to small or expanding East Metro businesses. The loans will provide access to working capital or to purchase equipment to expand production, which will create new jobs.
NDC and Meda have a long and successful track record of lending to low-income immigrants and people of color. The goal of investing in these nonprofits is expected to increase both organizations’ capacity to make and service mid-level loans and to deliver sustained benefits to the East Metro well beyond the life of these loans.
The role of the Saint Paul & Minnesota Foundations
The Foundations worked in cooperation with partners including F. R. Bigelow Foundation, the Katherine B. Andersen Fund and the Northwest Area Foundation to create the East Metro Job Creation Loan Fund. The Foundations' Finance and program staff will provide oversight of the loans to NDC and Meda and will meet semi-annually with the borrowers’ loan teams to review portfolio investments and job creation results.
By the numbers
A look at the East Metro Job Creation Loan Fund
New jobs created by Meda. 64% of these jobs went to people of color.
New jobs created by NDC. 40% of these jobs went to people of color.
Percentage of loans made by Meda that went to business owners of color.
Percentage of loans made by NDC that went to business owners of color.