Dorothy Bridges, President & CEO, Metropolitan Economic Development Association

Dorothy Bridges, CEO of the Metropolitan Economic Development Association, spoke with Invest: about how the organization assists minority-run businesses, and the pillars that create MEDA’s success in providing this support. She also spoke about the importance of networking and workforce development to strengthen businesses.

What have been the main highlights and key milestones for the Metropolitan Economic Development Association (MEDA) in the past year?

MEDA is a 53-year-old organization focused on developing and supporting underrepresented entrepreneurs, and we’ve had an exceptional impact on equitable economic development in Minnesota. Because of our collective efforts, we’ve supported 25,000+ small businesses since 1971, creating tax revenue for Minnesota communities and innumerable jobs that help individuals and families flourish. 

Overall, we provide our clients with support in three pillars – capital, consulting, and connections. Providing capital for small business growth is an essential and the largest pillar of our organization. We also provide consulting support directly to small businesses looking to grow and sustain their organization. Creating connections between organizations and key corporations within our community helps our client’s businesses grow. Networking and developing relationships for businesses with a growth trajectory is particularly important. 

MEDA runs a $36 million revolving loan fund that supports underserved communities. We are also a key partner of the State of Minnesota, and in the past year distributed more than $3.5 million in Providing Resources & Opportunity while Maximizing Investments in Striving Entrepreneurs (PROMISE) Act loans. These are loans for capital improvements to disadvantaged small businesses in designated areas of Minneapolis and St. Paul. 

Our portfolio has grown 21% year over year, and at the end of 2024, we are at $36 million and 800 active clients. Not all of them are borrowers, but the active list of clients represents $36 million in loans. 

What is your overview of the regional economy in the Twin Cities metropolitan area, and what trends stand out?

The economy in the Twin Cities is strong and diverse, and that diversity brings a wealth of opportunity. The labor force is well educated, and unemployment is below the national average. Minnesota is a tech hub, as it’s home to the headquarters of multiple technology companies, particularly medical technology. 

With the likes of Medtronic and 3M, we take advantage of the opportunity to attract other businesses in the medtech field. The goal for MEDA is to ensure we have underrepresented entrepreneurs represented in the quest to attract businesses. We have a ready workforce in our communities to support new businesses.

What are the main industries and sectors that are driving economic growth in the Twin Cities region, and where are the opportunities?

The economy in the Twin Cities region is driven by several industries, including healthcare, manufacturing, retail, technology, and finance. 

With the aging population in our community, there are a number of healthcare issues being raised, from adult day care facilities, nursing care, to in-home healthcare. Many of our client entrepreneurs are focusing on medical and health-related services. We have a large pool of manufacturing companies providing widgets for applications for other key things. In the technology sectors, several of our clients are focusing on the geospatial services space. 

How is MEDA promoting the opportunities for economic development and for businesses?

MEDA is an integral partner with the state of Minnesota as we were awarded the opportunity to administer a $24 million pool of funds to lend through the PROMISE Act. These are loans with low interest rates and long-term fixed loans for commercial development in key corridors within the Twin Cities. We started the program in January 2024, and at the end of 2024, we had $3 million deployed. We are on track to deploy the $24 million in its entirety by 2027.

While commercial lending is a key component of the support we provide, we also counsel our clients and provide business consulting services. We focus on areas that are strategically important for entrepreneurs such as financial planning, taxes, management skills, and marketing. 

As part of a wider ecosystem, we attend national conferences and participate in panel discussions about the value proposition for supporting underrepresented entrepreneurs, because it’s a strong business imperative. It means greater economic growth for communities and individual businesses. I participate on advisory councils with other organizations to advocate for these topics as well. 

How does the association work with city, county, and state officials to promote economic development in the region? 

They are all key partners with MEDA, and in our 53-year history we’ve developed credibility with each group. We collaborate with local officials, our legislators, and have a presence at many state events. On the federal level, MEDA is a certified business center for the Minority Business Development Agency (MBDA), a government agency. We’ve been working with them for 12 years. 

These relationships are key and vital to our success. Bringing these partners to the table and leveraging what they offer creates an environment for our underrepresented entrepreneurs to succeed. We meet regularly with each of these partners to share MEDA’s progress. There are specific programs at each level in which we participate to bring underrepresented entrepreneurship presence in our community and economy.

How is MEDA promoting workforce development and building a strong labor force in Minnesota?

You cannot have an economy without job creation, and MEDA is proud of our far-reaching impact. The breadth and variety of these businesses bring more than $155 million in annual reported revenue to our neighborhoods, cities, counties and state. In addition, 95% of MEDA’s client businesses are employer businesses that employ 1,300+ people. 

MEDA focuses on employer-based business and helping them grow and attract more jobs to the community. The acquisition program has a focus on sustaining businesses that create and retain jobs. If they have an employee who is interested in purchasing the business in order to sustain the workforce of that business, it’s something that has an interest for us. We help support the creation and retention of jobs, and we’re developing strategies to support our clients, workforce development, and growing employees and jobs. 

The $22 million in the Minnesota PROMISE Act loans is through the state’s workforce development program, with commercial real estate development being a key focus.

Overall, MEDA’s loan fund meets the financing needs of more than 800 small businesses, in industries such as Healthcare and Social Assistance (14%), Manufacturing (11%), Management of Companies and Enterprises (10%), Retail (6%) and Scientific and Technical services (6%) as well as Accommodation and Food Services (23%).