Rural Microentrepreneur Assistance Program - Missouri

From USDA: Rural Development (RD)

We are committed to helping improve the economy and quality of life in rural America.

Type of Support

Overview

This grant program focuses on supporting Microenterprise Development Organizations (MDOs) to aid the startup and growth of microenterprises through the establishment of a Rural Microloan Revolving Fund. It also seeks to provide training and technical assistance to microloan borrowers and micro-entrepreneurs. The program is aimed at rural areas with populations of fewer than 50,000 residents, emphasizing projects that operate in eligible rural locations. Funding includes grants up to $205,000 annually for technical assistance, with a requirement for at least 15 percent matching funds, and loans ranging from $50,000 to $500,000 for setting up a Rural Microloan Revolving Fund, with a total aggregate debt limit of $2.5 million.

Eligibility

Organization's Location
USA
Program Location
MO
Organization Type
Nonprofits
Federally-recognized tribes
Institutions of higher education
Other
  • Businesses located in an eligible area with 10 or fewer full-time employees
  • Experience in managing a Revolving Loan Fund required, OR education and training in managing such a fund, OR active and successful participation as an intermediary lender in the SBA Microloan Program or similar programs
  • Maximum loan term of 20 years with a two-year payment deferral
  • Must establish a loan loss reserve fund
  • Loans to ultimate recipients are up to $50,000 with a fixed interest rate and limited to 75 percent of project cost
  • Funds can be used for working capital, debt refinancing, purchasing equipment and supplies, and improving real estate
up to 500k

Submission

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