UE Microloan Program

The microloan program is an experiential student-run program administered by the Institute for Banking and Finance (IBF) at the University of Evansville and funded by Old National Bank (ONB).

MISSION: The mission of the UE Microloan Program is to support the launch and growth of Women and Minority-Owned Businesses (W/MBE), Disadvantaged Business Enterprises (DBE), and Small Disadvantaged Businesses (SDB) in the Evansville area, while engaging UE students through real-world applications of the concepts and skills taught in UE's Schroeder School of Business.

The Microloan Program will pursue its mission as three components:

Micro loans for Women and Minority Owned Businesses (W/MBE), Disadvantaged Business Enterprises (DBE), and Small Disadvantaged Businesses (SDB), administered by UE students under the supervision of the Institute for Banking and Finance.
Executive mentors assist borrowers in the implementation and evaluation of their business plans.
Coursework for UE students who will promote, administer, monitor, and report on the loan fund.

Who Can Apply for a Loan?

Any new or existing business in the Evansville area that meets the criteria to be certified as a Women and Minority-Owned Business (W/MBE), Disadvantaged Business Enterprise (DBE), or Small Disadvantaged Business (SBD) can apply for this loan.

How Does the Loan Process Work?

Interested borrowers should contact sh55@evansville.edu to schedule an appointment to meet with the program coordinator and a student loan consultant.
Applicants invited to do so, will then submit a loan application, business plan, and other loan documents, for review by the student loan consultant, the program coordinator, and an ONB representative.
Borrowers with approved loan requests will meet with their executive mentor to review their business plan and discuss initial implementation. Subsequent to this meeting, the loan will be funded.
Borrowers will meet regularly with student loan consultants and with their executive mentor to review financials and progress on their business plan.

What Are the Loan Terms?

Loan Terms
Amount	Up to $10,000
Term	Up to 5 years
Rate	Fixed at prime + 3%
Repayment	Level monthly payments of principal and interest sufficient to amortize the balance upon maturity. In certain conditions, the microloan program team might grant the borrower a grace period of up to six months of interest-only payments due monthly.
Late Fee	A late fee of $25 will be applied to payments not received within 10 days of the due date. A 2% increase on the interest rate will be applied 75 days after any delinquency.
Collateral	To be determined based on the loan request; usually a blanket lien on business assets
Requirements	Credit report, W/MBE, DBE, or SDB certification, business plan, and other documents, as needed
Partial Loan Forgiveness Program (optional)	Forgiveness of up to 10% of the initial loan with the completion of required online financial literacy modules.