Services: Incentive and Financial Resource Programs

Contact: Paul Nevanen, Director- KEDA

Address: PO Box 407 , International Falls, MN 56649

Phone: 218.283.8585



The purpose of the Koochco Loan Program is to create and maintain permanent employment through the establishment of new businesses or the expansion of existing businesses in Koochiching County. Koochco normally purchases a participation in a loan provided by a private financing institution and shares in a first position with respect to collateral.

Loan Amounts
The loan minimum is $10,000 and loan maximum is $100,000.

Eligible Applicants
For-profit or non-profit businesses. Businesses eligible for Koochco, Inc. loans must be considered “basic” (businesses that sell their products to non-local markets).

Other Funding Required
For all projects, private lending institutions must provide financing in an amount not less than that provided by Koochco.

Other Special Requirements
Projects that are entirely or primarily refinancing existing debt will not be allowed unless such refinancing will result in a significant upgrading or expansion of operations and creation of jobs.

Allowable Use of Proceeds
Land and building acquisition, land improvements, building construction and renovation. Purchase of machinery and equipment, resort facilities expansion, working capital and inventory purchase. (term loans only)

Term of Loan
Maximum amortization will be 20 years and active participation will be limited to five years in most cases. The policy will require a balloon payment or call provision after the fifth year of the loan.

Interest Rate
Interest rate on Koochco loans is 6%.

Koochco, Inc. Loan Program serves the Northland, Arrowhead, and Koochiching county areas.