MEDC is Celebrating 50 years serving Milwaukee

MEDC was founded in 1971 as a non-stock, not for profit lender serving the City of Milwaukee. MEDC leverages funding from private and public sources to finance projects or businesses in hard-to-serve or underserved markets. Throughout the years MEDC has expanded its service area to include the seven surrounding counties of Milwaukee, Kenosha, Racine, Ozaukee, Walworth, Waukesha and Washington, referred to in the aggregate as the “Milwaukee 7 Region”.

In addition to being a 501c3, MEDC is a Community Development Financial Institution, Community Development Entity, SBA Community Advantage Lender, EDA Economic Adjustment Assistance RLF Operator, Community Development Block Grant Operator and administers three State of Wisconsin funded Venture Debt programs. 

The cornerstone of MEDC’s success are Revolving Loan Funds (RLF) that provide loans with unique and flexible terms at below market rates. MEDC matches the borrower with the appropriate RLF Program that has the features that maximize the borrower’s access to capital. MEDC RLF Programs include funding to businesses for business acquisition, expansion, equipment, and real estate purchases as well as for large catalytic projects. Typical loans are between $50,000 to $750,000 and catalytic projects range from $2.5 million to $15 million. 

Historically, MEDC primarily provides gap financing in conjunction with a lead bank lender. This structure targets businesses, primarily in low income communities, with projects that did not fully qualify for conventional bank financing. MEDC has developed a reputation for working with borrowers with limited credit and has seen an increase in the need for directly funding loans that traditional banks do not typically provide. 

MEDC has provided responsible, affordable lending to businesses for 50 years, financing to over 1,225 businesses, providing nearly $500 million in loans, with almost $2 billion in total project costs.