Dec 4, 2025 - News

Des Moines revives small business loan program

Jason Clayworth

Two smiling chefs with arms crossed, one in black uniform and the other in white with a black headscarf, standing back-to-back in a commercial kitchen with knives on the wall. — Gloria Henriquez started Tullpa in 2023. Luis Carrion, the Peruvian restaurant's chef, took part in a statewide culinary competition at the Iowa Hospitality Showcase last month. Photo: Courtesy of City of DSM

The city of Des Moines has restarted and expanded a short-term, low-interest loan program for small businesses.

Why it matters: The program aims to fill a small-loan financing gap that traditional lenders often overlook, making it difficult for small businesses to survive or grow.

Catch up quick: The Small Business Impact Loan Program provides loans up to $20,000 for businesses with 20 or fewer full-time employees at prime rates.

Applicants must demonstrate they do not have access to credit from a traditional lender.

Zoom in: The city launched the program last year with $100,000, issuing six loans to support businesses in opening storefronts and making building improvements.

Repayments are distributed over three or five years and are part of a currently ongoing revolving loan fund.

State of play: The council allocated an extra $300,000 to the program in October and announced last week that it had reopened applications for new loans.

Applications are accepted and reviewed on a rolling basis until this year's funds are fully allocated.

What they're saying: The reauthorization reaffirms the city's commitment to the creativity, determination and resilience of small businesses, DSM Mayor Connie Boesen said in a press release.

What we're watching: How businesses like Rook Room, which benefited from the program, perform over the long term.

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Des Moines revives small business loan program

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