FAIM funds may be used to start or expand a small business in Minnesota. The local FAIM agency and FAIM Admin team shall determine the realistic possibilities of such ventures.  The business must be legal, feasible, viable, and sustainable to provide income to support the FAIM participant in the long term.

Participants are strongly encouraged to begin working on requirements of this asset and connect with a small business center mentor early in their enrollment.  FAIM participants must choose a name for the business, register for an EIN with the IRS (even if operating as a sole proprietorship) register with the State of Minnesota, develop a detailed business plan and projected budget, open a business checking account at an insured financial institution, and work with a qualified mentor from a small business development center to refine and approve their detailed business plan.  Participants must complete 10 hours of training related to their business and the 12 hours of financial management training.

FAIM – Guide to Business Development Requirements – Updated 4-26-2022

 To be eligible for FAIM, applicants must:

  • Be at least 18 years of age.
  • Be and remain a resident of Minnesota with valid MN driver’s license or MN photo ID card.
  • Have earned income (wages from employment or self-employment).
  • Have total household net assets of less than $10,000.
  • Have combined household annual gross income at or below 200% of the current federal poverty guideline.
  • Have the ability to reach their saving goal in 24 months or less.
  • Have the ability to complete requirements and exit the program within a maximum of 30 months.

Resources for business development: