Capital Access COVID-19 Response Programs

Capital Access Support for Businesses Impacted by COVID-19

As small and medium-sized businesses across the state are negatively impacted by the COVID-19 outbreak, existing programs within Capital Access provide opportunities to access financing that may not otherwise be available. Any business that has been affected by COVID-19 is eligible to receive support through the Collateral Support and Loan Participation programs.

We encourage participating lenders across the state to work with their existing business customers to consider whether these programs could offer access to critical capital, with our team standing ready to help. Available programs include:

  • Capital Access Program: The Capital Access Program (CAP), is available to assist businesses with capital needs. Similar to a loan loss reserve fund, the bank, the company and the MSF pay a small premium into a reserve that makes it possible for the company to receive fixed asset and working capital financing. (More information provided below)
  • Collateral Support Program: The Collateral Support Program works to provide cash collateral accounts to lending institutions to enhance the collateral coverage of borrowers. This program seeks to enable borrowers to acquire the necessary financing that may otherwise be unavailable due to a collateral shortfall. (More information provided below)
  • Loan Participation Program: The MEDC can participate with a lender for new financing that decreases the lender’s credit exposure. For projects with speculative cash flows, the MEDC may offer a grace period on repayments. (More information provided below)

Detroit Development Fund 

Detroit Development Fund (DDF) is now accepting applications from small businesses in Detroit, Highland Park and Hamtramck to make micro and small business loans ranging from $5,000 to $250,000.

Funding is the result of a $1 million loan authorized by the Michigan Strategic Fund through the MEDC Capital Access program, and DDF expects to provide 30 to 40 loans to businesses that require patient, flexible working capital to re-open or re-establish operations as a result of the COVID-19 pandemic. For more information, visit:

Northern Initiatives program

The Northern Initiatives program will provide up to $2 million in loan funds to Northern Initiatives through MEDC’s Capital Access program to be used to assist businesses impacted by the COVID-19 virus.

Northern Initiatives, a Community Development Finance Institution regulated by the U.S. Department of Treasury, provides business loans to existing and start-up businesses, primarily in underserved rural markets. Due to the volume of requests, Northern Initiatives has put a temporary hold on accepting new requests and expects to reopen inquiries in mid-May. For more information, visit: