The Bluegrass state is home to well over 300,000 small businesses. If you’re one of them, we’ve got some fantastic funding options for you. The list below is chock full of business grant and loan opportunities for Kentucky-based businesses. Take a look to discover whether your business is eligible, and apply today.
Department or Agency: Kentucky Economic Development Finance Authority (KEDFA)
Loan or Grant title: Small Business Loan
The Kentucky Economic Development Finance Authority (KEDFA) offers a Small Business Loan to help local businesses maintain a competitive edge in the market. This loan is specifically for businesses in the service and technology, manufacturing, and agribusiness industries. Loans range from $15,000 to $100,000 and can be used toward making updates, purchasing equipment, and other business expenses. Among other qualifications, eligible businesses must have 50 or fewer full-time employees. Additionally, the business is required to create one new job within one year of closing on the loan.
Department or Agency: Kentucky Export Initiative
Loan or Grant title: State Trade Expansion Program Grant
Kentucky small businesses looking for assistance with international exports may be eligible for a grant through Kentucky’s State Trade Expansion Program (STEP). Qualified applicants may receive up to $10,000 in reimbursement for steps taken (such as training and marketing) to improve or develop the business’s international export program.
Department or Agency: Kentucky Highlands Investment Corporation
Loan or Grant title: Micro Enterprise Loan
In an effort to help local small businesses succeed, Kentucky Highlands Investment Corporation offers a Micro Enterprise Loan. Eligible small businesses must be within the company’s service area, which includes Bell, Clay, Clinton, Cumberland, Estill, Harlan, Jackson, Knox, Laurel, Lee, Leslie, Letcher, Lincoln, Madison, McCreary, Owsley, Perry, Pulaski, Rockcastle, Russell, Wayne, and Whitley counties. Only businesses in the industrial, service, and commercial industries are eligible to apply. Loans range from $500 to $50,000 and can be used to finance real estate, purchase equipment, and for working capital.
Department or Agency: Kentucky Highlands Investment Corporation
Loan or Grant title: Small Business Loan
Kentucky Highlands Investment Corporation offers a Small Business Loan to boost the likelihood that Kentucky’s small businesses grow and flourish. Eligible small businesses must be within the company’s service area, which includes Bell, Clay, Clinton, Cumberland, Estill, Harlan, Jackson, Knox, Laurel, Lee, Leslie, Letcher, Lincoln, Madison, McCreary, Owsley, Perry, Pulaski, Rockcastle, Russell, Wayne, and Whitley counties. Only businesses in the industrial, service, and commercial industries are eligible to apply. Loan amounts can range up to 75% of the project costs or $250,000, whichever is less. At least 10% of the project costs must be paid through the business owner’s equity. Loans can be used toward financing real estate, purchasing equipment, and working capital.
Department or Agency: Kentucky Highlands Investment Corporation
Loan or Grant title: Kentucky Highlands Freight Enhancement Revolving Loan Fund
Kentucky Highlands Investment Corporation also has a Freight Enhancement Revolving Loan Fund for industrial, service, and commercial businesses in the company’s service areas. Those include Bell, Clay, Clinton, Cumberland, Estill, Harlan, Jackson, Knox, Laurel, Lee, Leslie, Letcher, Lincoln, Madison, McCreary, Owsley, Perry, Pulaski, Rockcastle, Russell, Wayne, and Whitley counties.
Department or Agency: Metropolitan Business Development Corporation (METCO)
Loan or Grant title: Midi Loan
METCO offers several loans for small businesses in Kentucky’s Jefferson County. The Midi Loan is available in amounts ranging from $15,000 to $50,000 and can be used toward working capital, equipment purchases, improvements to commercial property, and other expenses to help new and existing businesses grow and expand.
Department or Agency: Metropolitan Business Development Corporation (METCO)
Loan or Grant title: Business Accelerator Loan
METCO offers several loans to help small businesses in Kentucky’s Jefferson County succeed. The Business Accelerator Loan is available for small businesses in low- to moderate-income areas that do not have access to traditional financing options. Loans in amounts ranging from $15,000 to $30,000 are available for businesses open for less than one year. For businesses that have been in operation for longer than one year, the loan maximum is $50,000. Funds can be used toward working capital, equipment purchases, improvements to commercial property, and other expenses to help new and existing businesses grow and expand.
Department or Agency: Metropolitan Business Development Corporation (METCO)
Loan or Grant title: Facade Loan
METCO’s Facade Loan helps businesses in Jefferson County revitalize their exteriors and storefronts. Loans range from $15,000 to $100,000, with an interest rate of 3% repayable over four years.
Department or Agency: Metropolitan Business Development Corporation (METCO)
Loan or Grant title: Accessibility Loan
METCO’s Accessibility Loan gives Jefferson County businesses capital to improve their building accessibility and ADA compliance. Loans are $5,000 to $15,000, with a four-year repayment period and a 3% minimum interest rate.
Department or Agency: Metropolitan Business Development Corporation (METCO)
Loan or Grant title: Commercial Renovation Loan
METCO’s Commercial Renovation Loan helps Jefferson County businesses renovate a commercial property that is otherwise unsuitable for business use. Eligible businesses can get between $15,000 and $250,000, with a 10-year repayment period and a 3% minimum interest rate.
Department or Agency: Metropolitan Business Development Corporation (METCO)
Loan or Grant title: Gap Financing Loan
METCO’s Gap Financing Loan gives Jefferson County businesses loans to bridge short-term financing gaps. Eligible businesses can get between $15,000 and $200,000 (25% of their project budget) to put toward equipment, build-out costs, furnishings/fixtures, supplies, inventory, and working capital.
Department or Agency: Metropolitan Business Development Corporation (METCO)
Loan or Grant title: Small and Disadvantaged Gap Financing Loan
METCO’s Small and Disadvantaged Gap Financing Loan is designed specifically for very small businesses and operations owned by socially and economically disadvantaged individuals. Eligible businesses can get between $15,000 and $200,000 (up to 50% of their project budget) to put toward equipment, build-out costs, furnishings/fixtures, supplies, inventory, and working capital.
Department or Agency: Metropolitan Business Development Corporation (METCO)
Loan or Grant title: Go Green Loan
METCO’s Go Green Loan gives Jefferson County businesses capital to make energy-efficient upgrades or produce green products and services. Eligible businesses can get between $15,000 and $200,000, with a 10-year repayment period and a 3% minimum interest rate.
Department or Agency: Metropolitan Business Development Corporation (METCO)
Loan or Grant title: Louisville Agribusiness Loan
METCO’s Louisville Agribusiness Loan gives financing to Jefferson County businesses that process, distribute, or otherwise add value to food grown by Kentucky farmers. Eligible businesses can get between $15,000 and $250,000, with a 10-year repayment period and a 3% minimum interest rate.
Department or Agency: Metropolitan Business Development Corporation (METCO)
Loan or Grant title: Brownfield Cleanup Loan
METCO’s Brownfield Cleanup Loan helps Jefferson County businesses finance the cost of cleaning up and restoring a designated brownfield site for proper business use.
Department or Agency: Southeast Kentucky Economic Development (SKED)
Loan or Grant title: Business Loans
For businesses located in Southern or Eastern Kentucky, SKED offers loans to help with business growth and expansion. These loans can be tailored to meet the unique needs of applicants and are customized for businesses of any size. SKED also provides technical assistance and other resources for businesses that qualify for their loans. Funds can be used for purchasing real estate, refinancing, buying equipment, and other expenses acquired through the growth or expansion of a business.
Department or Agency: Keyhorse Capital
Loan or Grant title: Kentucky Enterprise Fund
Keyhorse Capital was created by the Kentucky Science and Technology Corporation to provide access to venture capital to Kentucky’s small businesses. They provide pre-seed and seed-stage funding to entrepreneurs seeking to provide innovative opportunities throughout the state and enhance Kentucky’s economic development. Qualifications include having a prototype, demonstrating the ability for revenue, showing promise to increase employment opportunities, and more.
Department or Agency: Kentucky Cabinet for Economic Development
Loan or Grant title: Kentucky Small Business Credit Initiative 2.0 Loan Programs
The Kentucky Small Business Credit Initiative (KSBCI) is part of the federal program to support small businesses nationwide. KSBCI’s 2.0 Loan Program offers loans to businesses in Kentucky that have struggled to obtain financing from traditional lending institutions.
Department or Agency: Keyhorse Capital
Loan or Grant title: Kentucky Matching Ventures Fund
Keyhorse Capital’s Kentucky Matching Ventures Fund invests up to $2.5 million in early-growth stage technology companies in Kentucky. To qualify, companies need to have fewer than 500 employees, be currently raising capital via equity or convertible debt, and demonstrate their ability to grow successfully.
Department or Agency: Keyhorse Capital
Loan or Grant title: Kentucky Strategic Ventures Fund
Keyhorse Capital’s Kentucky Strategic Ventures Fund provides a matching investment of up to $2.5 million in private equity and venture capital funds that commit to investing in startups within Kentucky. To qualify, funds need to invest in Kentucky-based businesses with fewer than 500 employees and demonstrate that they can attract significant investment commitment from private investors.
Department or Agency: Kentucky Cabinet for Economic Development
Loan or Grant title: Kentucky SBIR-STTR Matching Funds Program
Kentucky businesses that have been awarded funds through the Federal Small Business Innovation Research (SBIR) or Small Business Technology Transfer (STTR) programs may be eligible for Kentucky SBIR/STTR Matching Funds. The grant will match up to $100,000 for a Phase I project and up to $150,000 for a Phase II project.
Department or Agency: Kentucky Economic Development Finance Authority (KEDFA)
Loan or Grant title: Direct Loan Program
KEDFA’s Direct Loan Program gives loans from $25,000 to $500,000 to Kentucky businesses in agribusiness, tourism, industrial ventures, or the service industry. Eligible borrowers can put the funds toward fixed assets like land, equipment, and property.
Department or Agency: Commonwealth Seed Capital
Loan or Grant title: Commonwealth Seed Capital Fund
Commonwealth Seed Capital invests in seed-stage companies in Kentucky that are commercializing a tech-based product or process. Investments are typically made in the following areas: health and human development; information technology and communications; bioscience; environmental and energy technologies; materials science, and advanced manufacturing.
Department or Agency: Bluegrass State Skills Corporation
Loan or Grant title: Grant-in-Aid Program
The Bluegrass State Skills Corporation’s Grant-in-Aid Program reimburses businesses in specific industries for the cost of training their employees. Businesses can get a cash grant reimbursement for up to 50% of eligible training costs, up to $75,000.
Department or Agency: Kentucky Agricultural Finance Corporation
Loan or Grant title: Agricultural Infrastructure Loan Program
The Kentucky Agricultural Finance Corporation (KAFC) works with local lending institutions to give Kentucky agriculture businesses low-interest loans. Their Agricultural Infrastructure Loan Program (AILP) gives Kentucky agricultural producers financing to acquire, renovate, and construct agricultural structures that enhance their farms.
Department or Agency: Kentucky Agricultural Finance Corporation
Loan or Grant title: Beginning Farmer Loan Program
The KAFC’s Beginning Farmer Loan Program (BFLP) is designed to help people who want to develop, expand, or buy into a farming operation. Eligible borrowers can use the funds to purchase livestock, equipment, agricultural facilities, and real estate; secure working capital; or invest in a partnership.
Department or Agency: Kentucky Agricultural Finance Corporation
Loan or Grant title: Diversification Through Entrepreneurship in Agribusiness Loan Program
KAFC also has a Diversification Through Entrepreneurship in Agribusiness Loan Program (DEALP) that supports agri-entrepreneurs with purchasing, establishing, or expanding a business that sells agricultural products or services.
Department or Agency: Kentucky Agricultural Finance Corporation
Loan or Grant title: Large Food/Animal Veterinary Loan Program
The Large Food/Animal Veterinary Loan Program (LFAVLP) is designed to support licensed veterinarians in Kentucky who want to construct, expand, equip, or buy into a practice serving large animal producers.
Department or Agency: Kentucky Agricultural Finance Corporation
Loan or Grant title: Agricultural Processing Loan Program
The Agricultural Processing Loan Program (APLP) gives capital to Kentucky businesses that want to support Kentucky-grown agricultural commodities through further processing.
