VIRGINIA, Minn., Oct 19, 2011 -- USDA Rural Development State Director Colleen Landkamer visited the Virginia city hall today to highlight how a $100,000 Rural Business Enterprise Grant (RBEG) will help locally owned businesses in Virginia.
Rural Development recently selected the City of Virginia to receive a $100,000 RBEG to capitalize a revolving loan fund used to assist small and emerging local businesses with startup or expansion financing. Businesses that receive financing from the RBEG will commit to creating at least one full-time job for every $10,000 loaned.
“This funding is about creating jobs and boosting small businesses located in rural Minnesota,” Landkamer said. “Small businesses and entrepreneurs will lead the economic recovery effort in our rural communities. It’s important that we provide our small rural businesses with the tools and resources necessary to succeed and create sustainable economic development.”
Rural Development’s RBEG program provides grants for rural projects that finance and facilitate development of small and emerging rural businesses. Since 2009, Rural Development has awarded about $5 million in RBEGs throughout Minnesota.
“Programs like this mean a lot to communities like Virginia,” said mayor Steve Peterson. “Accessing capital is a challenge for locally-owned businesses in today’s economy. This funding increases access to capital for these small businesses and creates jobs right here in Virginia.”
USDA Rural Development has invested about $3.5 billion throughout Minnesota since 2009.
In addition to financing for rural businesses, Rural Development has programs to improve housing, infrastructure and community facilities in rural communities. To learn more about Rural Development programs, visit www.rurdev.udsa.gov/mn, or call the local office in Virginia at (218) 829-5965, ext. 4.