JEFFERSON CITY, Mo. -- A St. Louis nonprofit firm has been selected to administer a new state loan program for small businesses.

The Justine Peterson Housing and Reinvestment Corp. is to oversee a $2 million pool of state money available for loans to businesses with five of fewer employees.

Businesses can receive between $2,500 and $25,000 at interest rates of 3 percent.

The loan program was proposed by Gov. Jay Nixon and is being funded by the Missouri Development Finance Board.

Businesses have until June 26 to apply to the Department of Economic Development.