Michigan Microloan Fund Program: New business loan option

Category: Business Formation & Planning

Beginning a business requires startup capital. This can be found through business loans especially designed for a new business. This allows the business to cover initial costs to lay the groundwork for the new company to grow. Ideally, it will also give the company some backup funds in order to get the business through the first few months where it may not be able to yet make a profit. One Michigan company has been able to secure its startup capital through the Michigan Microloan Fund Program.

This small startup was among four recipients of the microloan program, which is funded by the 21st Century Jobs Fund. This program was administered by the Michigan Economic Development Corporation, which is the state’s public-private marketing arm. The recipients of the program were granted a total of $200,000. Although an exact amount was not specified, since the limit was $50,000, some people believe that this is the amount the company had received.

Rippld is a Web-based business that aims to connect creative freelancers, such as writers, artists, videographers and animators, to businesses that are in need of their services. The company claims to be a “collaboration and services exchange platform.” The firm believes there is a gap between businesses looking for creative talent and creative professionals searching for freelance gigs. Rippld will attempt to bridge this gap.

Along with having startup capital, an entrepreneur in Michigan should also make sure that a new business is properly formed. There are a variety of legal considerations to make when forming a business. This includes what type of business entity will best serve the entrepreneur’s purposes. One should also make sure to follow the proper legal procedure in business formation.

Source: M Live, ” With microloan, Detroit startup hopes to bridge gap between businesses and creative freelancers ,” David Muller, Aug. 9, 2012

Awards and Accolades