Child Care Loan Program

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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	At the discretion of staff
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
LIFE INSURANCE REQUIREMENT	Borrower must obtain life insurance in the amount of the loan and NDDF will receive a collateral assignment of the policy.

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

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Additional Resources:

Accountability Information Release

North Dakota Women's Business Center

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Special Program: Gate City Bank’s BetterLife™ Child Care Business Loan

The goal of supporting communities and helping businesses thrive has always been top of mind for Gate City Bank, which is why the bank is addressing the real-world need for child care availability head on with its one-of-a-kind BetterLife™ Child Care Business Loan program.

Whether licensed daycares are looking to hire extra help, make upgrades or expand their ventures, this unique loan option features:

Below-market interest rates for reduced monthly payments.
No origination fees for enhanced affordability.
Longer terms for greater flexibility.

After providing $5 million in loans and saving local daycare providers $1.2 million in interest since launching this program in 2022, Gate City Bank is offering an additional $5 million in 2025! Learn more and get started at GateCity.Bank/Daycare.

Child Care Aware of North Dakota - Family Child Care Business Training Series

The Family Child Care Business Series is a 10-week series designed to cover aspects of running a family child care business.

Business topics covered in this series includes: Marketing your business, Writing contracts, Creating policy handbooks effective communication, Risk management, Emergency preparedness, Time-space percentage, Income and expenses, Financial management, Recordkeeping, Preparing for taxes.

10 dates: February 3, 10, 17, 25 and March 3, 10, 17, 24, 31 and April 7 - 6:30-8:30 p.m. CST (Must attend all 10 sessions for credit and incentives) Registration closes January 4th.

Register today

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