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P: 816-233-3144


Loan Programs

SBA 504 Loan Program

The SBA’s 504 loan program is the cornerstone of MKDI’s efforts to provide financial assistance to area entrepreneurs. The 504 loan can be used to finance a new business start-up, to expand a current business, or to purchase an existing business.

  • Loan amounts ranging from $25,000 to $5,500,000
  • Fixed Asset financing only: Real Estate, Building purchase or construction, and/or Equipment
  • Below market Interest Rates
  • 10- or 20-year term available
  • No balloon payments
  • Fixed Interest Rate for the life of the loan
  • Available in Missouri and Kansas

SBA 7(a) Loan Program

The SBA 7(a) Guarantee program stems private sector lending by providing lending institutions additional security for qualifying loans. Depending on the size of the loan, a 75% or 85% guarantee is provided to the lender through the 7(a) program. The loan to the small business is provided by a bank of choice. The bank is responsible for setting the terms and rate. However, SBA sets a ceiling on the rates and has a maximum term limit for each use of loan proceeds, which in turn is beneficial to the needs of the small business/entrepreneur. For most of 2009 and 2010, the guarantee was temporarily raised to 90% to further aid lenders and small business during tough economic times; however, this temporary increase is expected to end December 31, 2010. Mo-Kan participates in the 7(a) program by providing technical assistance to the business/entrepreneur and packaging of the guaranty application.

  • Guarantee provided to the bank financing your loan need: provides additional security for your bank and your business
  • No balloon payments
  • Reasonable term and rate of interest
  • Available in Missouri and Kansas

Mo-Kan Revolving Loan Fund

Since 1990, Mo-Kan has provided gap financing for small businesses through its locally operated and managed RLF program. The RLF was originally funded through the federal Economic Development Administration (EDA) and local funds. Since its inception, this program has been able to loan out over $3 million, six times the original investment. In addition to the monies loaned directly from the RLF, the fund has leveraged over $14.5 million from private sector lenders and small business owners.

  • Loan amounts ranging from $20,000 to $200,000
  • Variety of loan uses: Real Estate, Building purchase or construction, Equipment, Inventory, and Working Capital
  • Below market Interest Rates
  • Terms up to 10 years
  • No balloon payments
  • Fixed Interest Rate for the life of the loan
  • Available in Missouri and Kansas

RBEG Revolving Loan Fund


Mo-Kan Regional Council was awarded a Rural Business Enterprise Grant (RBEG) from USDA in FY 2010 to create a microloan fund available to small businesses located in rural areas. The loan proceeds are available to small and emerging private business enterprises located within rural populations in the Missouri counties of Andrew, Buchanan, Clinton, and DeKalb (populations of 50,000 or less).

  • Loan Amounts $2,500 - $30,000
  • Loan Uses Equipment, Inventory, Working Capital, Refinance
  • Loan Terms 1-5 years depending on use and cash flow needs of the business
  • Below Market Rates, Typically 4% - 6%

For Borrowers

Financing your business is our business.

Mo-Kan has a variety of loan products that are designed to fit your needs.  In many cases, a lending institution is regulated by thousands of policies that may limit their flexibility to meet your exact needs.  These limitations may relate to the loan term, amount, interest rate, and much more.  Mo-Kan may be able to assist you and your lender by providing gap financing.  With Mo-Kan financing part of your project, you may qualify for a lower down payment, better interest rate, and/or a better loan term.  Our programs are designed not only to fit your needs, but also the needs of your lender. 

Some of the benefits to the Borrower:
Lower down payments
May finance up to 90% of the project costs
Low interest rates
Longer financing terms- keeps more cash available for working capital
No balloon payments
Fixed interest rates for the life of the loan

Variety of loan uses:
Real Estate
Building purchase
Building construction
Working Capital

What we need from you

Personal financial statement – Form provided (dated within the past 45 days) Three years business income tax returns
Three years prior business financial statements or for a start-up business, your business plan
Three years personal income tax returns
Personal history statement – Form provided (for all owners)
Personal resume (for all owners and management)
Copy of buy/sell agreement or Copy of lease agreement

What you get from Mo-Kan

Full support, from the business plan through the loan process and closing
A below market interest rate
Fixed interest rate financing
First-rate customer service
And most importantly, financing for your project

Success Stories

Lindy's Thriftway

thriftwayLindy's Thriftway, located in Hiawatha, Kansas, is a grocery store that offers not only regular grocery supplies, but also offers deli meats and salads, hot deli items, fresh produce, fresh bakery items, video rentals, and a variety of other household items. Built in 1972, this grocery store was purchased by Timothy White, Phillip Clark, John Clark, and William Clark through the SBA 504 Loan Program. These four partners helped retain several jobs within their community while continuing to provide quality products at a competitive price. Stop by their hot deli and try some of their famous Champs Chicken, among other hot food items.

Comfort Suites

ComfortSuitesIn 2003 Laxman and Harsha Patel entered into a lease-to-purchase agreement for the Super 8 Motel in St. Joseph. In 2006, after three years of continued growth, they purchased the property and have continued to be successful in their business. Mo-Kan helped them finance this acquisition through the SBA 504 program. Based upon their knowledge and past success, the Patel's decided to expand their operations in 2009. They choose to purchase the Comfort Suites located at 917 N. Woodbine Road in St. Joseph. This property has 65 rooms, an indoor pool, and all the amenities of the Comfort Suites brand. The Patel's approached Mo-Kan for assistance with another SBA 504 loan to purchase their second motel property. Because the Patel's and the sellers were both familiar with SBA process, this purchase was completed in less than six months.

Testimonial - Edwards Chemicals

Complete_buildingEdwards Chemicals, Inc. was started 35 years ago in Netawaka, KS by Leon and Bettie Edwards. Edwards Chemicals, Inc. began as a company that sold chemicals to water treatment facilities. In the beginning Bettie did the accounting and Leon sold the product, and delivered it out of an old cargo van. As Leon and Bettie began to build the business, clients would ask if Leon could get toilet tissue, disinfectants for their shower, can liners, etc. Consequently a custodial line was added to Edwards Chemicals to increase revenues. The business grew from municipal water treatment chemicals to a full water treatment product line including commercial swimming pools and industrial chemicals as well as a complete custodial chemical distributor. Edwards Chemicals, Inc. now has as total of 6 delivery trucks, a delivery area in a 100 mile radius of St. Joseph, Missouri, 15 employees and annual revenues of over 3.7 million dollars. Edwards Chemicals, Inc., is still a family owned business with son Todd Edwards as the Purchasing Manager and daughter Rachelle Edwards-Holt and the Regulatory Compliance Officer, Bettie Edwards is the CEO. Unfortunately Leon passed away 2 years ago and although he is missed, his sprit is alive and well in the company. For 35 years Edwards Chemicals, Inc. has strived to grow and to provide an excellent work environment for its employees asEdwards_1 well as a company that provides outstanding products and services to its clients.

As all small business owners understand, it is often difficult to grow a business and stay fiscally sound. There is always the push and pull of growth versus cash flow and financial stability. It was always Leon and Bettie’s dream that the company would be able to build its own facility. A facility that would meet Edwards Chemicals, Inc. unique needs and would provide a long term investment for the company. Mo-Kan Development, Inc., has been an immeasurable help and support in our efforts to secure financing for a new facility. The SBA 504 program which is designed to provide small businesses financing assistance as well as providing education on the various options that are available, has allowed us to move forward with this new facility. We, at Edwards Chemicals, Inc., can not overstate the impact that having Mo-Kan Development, Inc. involved in this project has had. Jon Ecker and his team have been integral in our ability to secure financing in these difficult economic times. The hours and hours of help they have provided in preparing documents and giving advice and council regarding questions are too numerous to mention. Mo-Kan Development, Inc., has been not only a source of securing financial assistance, but has been there every step of this journey to help us and provide excellent resource information on a myriad of topics that we could not of foreseen, and no doubt we could not have navigated without their assistance. We do not feel that is it is an overstatement to say that without the involvement of Jon Ecker and Mo-Kan Development, Inc. our facility would still be just a dream Leon and Bettie had for the company and the family.

James Kennedy Family Restaurant/Glory Days Sports Bar & Grill

grillJames Kennedy Family Restaurant/Glory Days Sports Bar & Grill is located on Main Street in Plattsburg, Missouri. Mr. Kennedy utilized Mo-Kan's RLF resources to purchase two historic buildings. He then remolded these adjoining buildings and developed a dual environment design. The restaurant side provides a family atmosphere while the bar & grill caters to area sports enthusiasts. This start-up business created 16 jobs for the Plattsburg community. Drop by sometime and try their well-known Kay-Loin or Prime Melt.

Shatto Milk Company Utilizes Mo-Kan's EDA Revolving Loan Fund

shattoFarming has been a serious business for the Shatto Family for generations. Located near Osborn, Missouri, the Shatto Milk Company dairy farm has been in the family since the 1800s. For years Leroy Shatto would rise at 4:00 a.m. to milk his cows. His 80-head herd was milked every 12 hours, producing 150,000 pounds of milk each month. The raw milk was sold to a dairy coop in Kansas City which would sell the milk to processors for bottled milk, yogurt, ice cream, etc. As time passed, the dairy industry changed and the price of raw milk dwindled. Prices fell below the cost of production and the Shattos operated at a loss. In order to save the farm, Leroy and his wife, Barbara, decided to expand the dairy farm by building a processing facility next to their existing milking parlor. However, breaking ties with the current coop meant they could not return.

Before the Shattos could risk breaking ties with the coop in Kansas City, careful consideration was required. A thorough business plan and feasibility study was necessary. To help pay for the costs, two grants were provided by the United States Department of Agriculture (USDA), one for a feasibility study and one for the development of a business plan. Leroy then contacted the SCORE in Kansas City and explained his situation. The SCORE staff researched the marketing data and provided the feasibility study and realistic business plan.

The search for financing was long and discouraging, until it was suggested that Leroy contact Mo-Kan. Mo-Kan not only helped with the grant applications, but also assisted Leroy in his search for a lender and provided financing through two unique loan programs. With the use of Mo-Kan's EDA Revolving Loan Fund (RLF) and the SBA 504 Loan programs, Leroy was able to turn his dream into reality. The SBA 504 Loan and bank loan were used to finance the facility construction, pasteurizer, bottler, capper, walk-in cooler and other equipment. However, some needed elements were not eligible for financing through the SBA 504 program. Start-up working capital was also needed to purchase bottles and caps, a delivery vehicle, supplies, and other start-up costs. Since collateral value for inventory and working capital items is typically minimal, financing for these items is generally hard to find. The EDA RLF, managed by Mo-Kan, was a perfect fit. The RLF provided financing for these items that were ineligible for other programs.

The Shattos now sell their no-growth-hormone milk directly to more than 60 groceries in the Kansas City area and northern Missouri. They use old-fashioned, recyclable glass bottles to further differentiate there product. Shatto Milk Company sells whole, 2%, 1%, and skim white milk and offer a variety of other flavors, such as chocolate, strawberry, orange cream, root beer, banana, and the seasonal eggnog. Other products include cream, half-and-half, butter, ice cream, several varieties of aged cheeses, and flavored drinks, such as lemonade, fruit punch, orange drink, and tea. Also available online and in their gift store you can find many unique gift items, ranging from apparel to the old-fashioned wire bottle carriers.

The Shattos were named second runner-up for the 2005 National Small Business Person of the Year. Several other awards have been granted to the Shattos and their distinguished products, including the blue ribbon at the state fair for their butter in August 2005 and 1st place with their Root Beer Milk and 2nd Place for their Strawberry Milk at the 2010 World Dairy Expo. Since 2003, when the Shattos began processing and bottling their own milk, they have continued to expand by adding more dairy cattle, additional buildings and improvements, new product lines, and a gift shop that offers a variety of items from bottle openers to hooded-sweatshirts. This unique business expansion proved to be difficult to properly finance. However, the Shatto Milk Company has now developed into a nationally recognized and locally owned success.

Testimonial - Friends Gather Here Child Care

testimonialFriends Gather Here Child Care opened its doors in 2002 at my home. My name is Susie Vance. As the family day care grew so did our (my sisters Vicki Gentzell and Linda Swope) dream of expanding to a larger facility. As young girls we were surrounded by people that nurtured us, prayed with us, taught us, and believed there was nothing we could not accomplish. We felt we needed to "pay it forward" by giving these values to the next generation. I feel God sends us on our life's journey not knowing always where we will end up. One Saturday in January my sister Linda and I drove the long way home from getting our hair cut and came across a sale of day care equipment---this is where our paths crossed with the building on Jules. We grew up on 28th and Jules so we knew the building as a beauty shop, tanning solon, electrical business office, and now a day care but no one knew as we walked passed it to school that one day we would be the owners. It wasn't an easy journey—many obstacles got in our way—but we knew we wanted and needed to share these dreams with the day care children and their families. This was most important to our family. daycareGod put many people on our path to help us achieve our dream. We started working with Rebecca Evans at the Small Business and Technology Development Center. She helped us "tweak" our Business Plan. As we worked though many rough drafts the name of Mo-Kan kept coming to the top of our conversation. We are not "business women" we are women that know what business they want to be in. So, I called and talked to Roni Mauer—not knowing what Mo-Kan could do to help us. I was truthful—telling her of our dreams, our lack of knowledge of how to buy and start a company, and how we were willing to learn and do whatever it took to get the building we walked past going to elementary school. From the first telephone call I knew God had sent Roni to us—she was someone that would help us—someone that would be honest, be a teacher, and motivator when times got tough. Through the expansion of Friends Gather Here our children now have a new furnace/air conditioner to provide a comfortable environment year round, our children now have a larger inside learning area to explore with hands on equipment, our infants now have their own area to gain confidence in the world around them, and our children now have a privacy fenced area to discover the outside world. Friends Gather Here children and family now have the benefit of a center with the security of a family environment. Friends Gather Here Child Care Center is a work in progress--we are not finished--we have just begun with the help of the people God has put on our path.


Local Economic Development Organizations and Chambers of Commerce

St. Joseph Chamber of Commerce
Cameron Chamber of Commerce
Savannah Chamber of Commerce
Atchison Area Chamber of Commerce

Resources for Starting a Business

KCP&L Location One
Location One is an on-line, searchable economic development database that provides detailed information on buildings, sites, and locations for businesses looking to expand. (Link opens a new window)

SBA Small Business Resource Guide

Local Small Business Development Centers

Kansas Small Business Development Center 

Missouri Small Business & Technology Development Center

Missouri Small Business & Technology Development Center-Northwest Missouri Region

Larry Lee, Regional Director
1402 N. College Drive
Maryville, MO 64468
This email address is being protected from spambots. You need JavaScript enabled to view it.

Matt Trussell, Center Director
715 Washington 
Chillicothe, MO 64601 
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Rebecca Evans, Center Director
3003 Frederick
St. Joseph, MO 64506
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Northwest Missouri Enterprise Facilitation    
Serving counties of Atchison, Nodaway, Worth, Holt, Andrew, and Gentry
P O Box 612
King City, MO 64463
660-535-4315 or 816-262-5158
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Northeast Kansas Enterprise Facilitation     
Serving counties of Atchison, Brown, Doniphan, Jackson and Nemaha
P O Box 635
Wathena, KS 66090
This email address is being protected from spambots. You need JavaScript enabled to view it.

Kansas City Source Link
"Linking Small Businesses to the Right Resources at the Right Time"

The Kauffman Foundation  
The Kauffman Foundation is often referred to as one of the largest foundations in the United States—or as the world's largest foundation devoted to entrepreneurship. 


Missouri Department of Agriculture, Assistance Programs  
Kansas Department of Commerce, Agricultural Value Added Center

Women Entrepreneurs

Missouri Women's Council

Minority Entrepreneurs

U.S. Department of Commerce, Minority Business Development Agency

Other Economic Development Links

USDA - Rural Development
Missouri Department of Economic Development
Kansas Department of Commerce 
Missouri Economic Development Council
Missouri Business Portal
Missouri Secretary of State    
Kansas Secretary of State    
SCORE, Counselors to America’s Small Business       

INTEREST RATES - for SBA 504 Loans

20 Year Rates

10 Year Rates

  • February
  • January
  • Decenber
  • 4.55%
  • 4.60%
  • 4.78%
  • February
  • January
  • December
  • -%
  • 4.42%
  • -%

*Rates posted are the "Effective Rates" as provided through a third party to Mo-Kan

Historical Rates