Weather Forecast

Click for Grant, Nebraska Forecast

Grants reserved for Nebraska businesses PDF Print E-mail

The Nebraska Investment Finance Authority announced this summer that it has reserved $39,565 in grants from the $1,000,000 available in the Nebraska Asset Modernization Initiative. The Initiative offers financial incentives to encourage small manufacturing, agricultural processing or food processing companies to invest in modernizing their assets.
The incentives are available for eligible investments made by existing Nebraska for-profit companies. The Initiative is designed to assist small businesses (those with fewer than 100 employees), increase market share or target international markets by improving productivity.

The CAP encourages lenders to make loans to qualifying businesses by establishing a loan loss reserve pool for loans originated by the participating lender.
The borrower and lender each make a contribution into a loan loss reserve account established by the Lender and NIFA matches the contributions in an account established by NIFA to create up to a ten percent loan loss reserve on the loan amount.
NIFA will also provide an additional bonus reserve of up to two and half percent of the first $500,000 in loans enrolled by the lender. The loan loss reserve is available to the participating lender for recovery of any losses on any loan they have enrolled in the CAP.
The maximum contribution by NIFA to the loan loss reserve is $25,000 per eligible business.
A total of $1,000,000 has been set aside by NIFA for the first year of the Initiative beginning July 1, and an additional $500,000 for a second year. NIFA expects the Initiative to stimulate investment by participating businesses in modernizing their fixed assets between $10 and $30 million on average each year.
More details about the Initiative and each program, including the application forms, are available on NIFA’s website at www.NeMAG-CAP.org.