Child Care Loan Program

Medium

The North Dakota Development Fund, Inc. is authorized to provide financial assistance to new and expanding child care providers through the Child Care Loan Program.

Eligible Organizations: Licensed profit, nonprofit and public child care facilities. Faith-based organizations are eligible but must follow all appropriate federal guidelines if receiving federal subsidies.

Eligible Uses: The Child Care Loan Program funds may be used for the acquiring, leasing, or remodeling of real estate facilities, purchasing equipment or working capital.

Childcare Loan Program
BORROWER	Any licensed child care provider
FUNDING LIMIT	Up to $1,000,000 per location and based on availability of funds. The Childcare loan program can fund 100% of projects up to $100,000. Projects over $100,000 must have a 50% match by a combination of owners equity, grant funding, private credit, or a loan from a financial institution. (e.g., for the construction of a childcare facility costing $600,000, the NDDF’s max participation is $300,000, with the remaining dollars coming from a combination of owners equity/grant funding/private credit/loan from a financial institution).
INTEREST RATE	2.5% - Fixed
TERM	1-10 years for loans $100,000 or less, dependent upon project. Loans greater than $100,000 will remain at 2.5% interest but will otherwise follow the terms established by the financial institution or set by the NDDF staff.
MINIMUM EQUITY REQUIREMENT	N/A
CREDIT SCORE REQUIRED	640 or higher, otherwise need additional guarantor that qualifies
PERSONAL/CORPORATE GUARANTEES	Yes
QUALIFICATIONS	A licensed North Dakota child care provider
COST AND FEES	$250

Applications are reviewed on a first come, first-serve basis. Applications and supporting information should be submitted via email to smattson@nd.gov.

For question regarding the Child Care Loan Program, please contact Samantha Mattson, 701-328-7252.

North Dakota Child Care Loan Program Application

FAQ